ORDER :

Heard Dr Anurag Kumar Agarwal, Senior counsel appearing on behalf of Mr. Pasham Mohit, Learned Counsel representing the petitioner, Mr. Damodar Mundra, learned Counsel appearing for Respondent No.3. Sri Gadi Praveen Kumar, Deputy Solicitor General of India, learned Counsel appearing for Respondent No.1 and Sri R.Raghava Chary, learned counsel appearing for Respondent No.2.

2. This Writ Petition is filed praying to issue a Writ of Mandamus, declaring the actions of the 2nd Respondent in releasing and making payments to the 3rd Respondent in spite of being aware of the actions of the 3rd Respondent in not making payments to the Petitioner, i.e. the authorized subcontractor contrary to the terms of the Work Order dated 06.12.2018 as illegal, arbitrary and unconstitutional and consequently direct the 2nd Respondent to make payments to the tune of IN 2,90,00,000/- to the Petitioner directly towards the outstanding amounts under the Work Order dated 06.12.2018 arising out of Contract dated 10.11.2016 vide Agreement No. ED/(E&P)/ SP-III/RWLS/PKG-10/132.

3. The case of the Petitioner, in brief, is as follows:

a) The Petitioner is a company incorporated under the provisions of Companies Act, 2013 and is inter alia engaged in the business of Construction/Civil works, Real Estate activities, Development and Sale of land and operation of apartments, hotels and residential mobile home sites. The 2nd respondent is a public limited Indian Non-government Company registered under the Companies Act, 2013 and is engaged in manufacturing material handling and mineral processing equipment, systems and components.

b) While so, the 2nd Respondent has awarded Contract dated 10.11.2016 vide Agreement No. ED/(E&P)/ SPIII/RWLS/PKG-10/132 for establishment of Rapid Wagon Loading System (RWLS) in the state of Chhattisgarh in favour of the 3rd Respondent on EPC basis. However, as the 3rd Respondent did not possess necessary credentials and experience to execute civil works components and had sub-contracted all civil works to one M/s. K.A. Pappachan Constructions on back-to-back sub-contract basis.

c) However, due to non-payment of outstanding dues against work done by the M/s. K.A. Pappachan Constructions and Petro (P), Kirandul, the said subcontractor left the project midway without finishing the work assigned and thus, the 3rd Respondent had approached the Petitioner and requested the Petitioner to carry out civil works for establishment of RWLS and feeding conveyer systems.

d) Pursuant to mutual discussion and deliberation, the 3rd Respondent issued a Work Order dated 06.12.2018 for construction of civil works at NMDC project for establishment of RWLS and feeding conveyer systems in favour of the Petitioner. Thereafter, the Petitioner had issued a letter dated 15.12.2018 to the 3rd Respondent communicating its acceptance of the Work Order dated 06.12.2018 subject to the conditions mentioned in the letter.

e) Subsequently, the Petitioner had commenced its works under Work Order dated 06.12.2018 and had further executed a Corporate Guarantee dated 26.03.2019 towards advance payment of amount IN 20,00,000/- in favour of the 3rd Respondent. Therefore, the Petitioner has at all times acted in a bonafide manner and performed its contractual obligations in a timely manner.

f) The Petitioner had immediately commenced the initial work at project site and raised R.A. Bill No. 1 with regard to the initial work executed by the Petitioner. Accordingly, the Petitioner had issued letter dated 29.04.2019 requesting the 3rd Respondent to release amounts to the tune of IN 59,63,8