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2023 Supreme(Online)(Chh) 11528

CHHATTISGARH HIGH COURT
Mr. Abhishek Banjare, J
Shamsher Singh v. General Manager Bhatgaon Area South Eastern Coalfields Limited
W. P. C. No. 1012 of 2022



Advocates:
For the Appellants/Petitioners: Mr. Abhishek Banjare
For the Respondents: Dr. Sudeep Agrawal

Compliance with natural justice is essential in administrative actions such as blacklisting.

Headnote:Pursuant to a Notice Inviting Tender, the petitioner was awarded a work order but failed to commence work, leading to his blacklisting by the respondent. The court found that the blacklisting lacked adherence to natural justice principles. While it interfered with the blacklisting order, it decided not to permit the petitioner to continue work.

Result: Appeal partly allowed.

Table of Content
1. details of work order and non-compliance. (Para 2 , 3 , 4 , 5)
2. arguments regarding blacklisting and completion of work. (Para 7 , 8 , 10)
3. importance of natural justice in blacklisting. (Para 11 , 12)
4. court's decision regarding jurisdiction and order. (Para 13 , 14)

1. Heard Mr. Abhishek Banjare, learned counsel for the petitioner. Also heard Dr. Sudeep Agrawal, learned counsel, appearing for the respondent.

2. Pursuant to a Notice Inviting Tender (NIT) dated 24.08.2021 issued by the respondent for work of temporary patch repairing work at coal transportation road near Songara of Mahan sub area of Bhatgaon area, the petitioner was awarded the work for a total value of Rs.l0,19,520/- by an order dated 24.09.2021.

3. The order dated 24.09.2021 clearly stated that the petitioner should commence work within a period of ten days of issuance of the letter or handing over of the site, whichever is earlier and period of completion of work shall be fifteen days. The site for project was handed over to the petitioner on 01.10.2021 and therefore, the date of completion was to be 15.10.2021.

4. On 23.11.2021, the Staff Officer (Civil) Bhatgaon Area of the respondent issued a letter to the petitioner stating that the petitioner had neither started the work nor had submitted the work programme despite several requests being made in that regard. It was observed that the petitioner was not interested to take up the work and blocked important work. Accordingly, invoking Clause 6.1 of the General Terms and Conditions of the NIT, which is not enclosed by the petitioner in this petition, it was recorded as follows:
'If the contractor, without reasonable cause or valid reasons, commits defaults in commencing the work withing the aforesaid time limit, the company shall, without prejudice to any other right or remedy, be at liberty, by giving 15 day's notice in writing to the contractor to commence the work, falling which to rescind the Letter of Acceptance of Tender / Work Order. The bidder(s) will be banned for 02(two) years for being eligible to submit bids in CIL and its subsidiaries with the approval of Tender Acceptance Authority with intimation to all concerned and online blocking of bidder shall be done on receipt of written communication from the Tender inviting Authority by application admin of CIL e - Procurement Portal.
In light of the above department has no option other than to serve you 15 day's notice in reference to above. This may be treated as final 15 - day's notice'

5. In the letter dated 25.11.2022, the petitioner indicated certain difficulties faced by him but there is no denial of the fact that he had not given the work programme as alleged in the letter dated 23.11.2021. Subsequently, by an order dated 29.01.2022, the following action was taken:
'i. Cancellation of your bid against NIT No.GM / BHAT / CVL / eTENDER / 21-22/32 dt. 24.08.2021 and to rescind the letter of acceptance of tender / Work Order.
ii. Debarring from participation in Re - tender for the above work.
iii. Forfeiture of EMD of Rs.30,586.00 deposited by you for this work. iv. Debarring from participating in all future tenders of SECL, Bhatgaon Area for a period of 24 (Month) from the date of issue of this letter.'

6. By filing this petition, the petitioner prays for the following reliefs:
'lO.i That this Hon'ble Court may kindly be pleased to direct the concerned respondents to cancel the letter of debarring him from work.
lO.ii That this Hon'ble Court may kindly be pleased to direct the concerned respondents to allow the petitioner to complete his work as per work order.
lO.iii Any appropriate direction or order in favour of petitioner, which this Hon'ble Court deems fit in the circumstances of the case.'

7. The learned counsel for the petitioner submits that the petitioner is very much interested to do the work and therefore, a direction may be issued to the respondent to allow the petitioner to do the work which was started by him. It is fur








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