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2026 Supreme(Online)(Chh) 16709

IN THE HIGH COURT OF CHHATTISGARH AT BILASPUR
M/S. H R K SOLUTIONS LIMITED – Appellant
Versus
THE UNION OF INDIA – Respondent
WPC/2284/2026



##PAGE1##

1

2026:CGHC:21310-DB

NAFR

HIGH COURT OF CHHATTISGARH AT BILASPUR

WPC No. 2284 of 2026

1 - M/s. H R K Solutions Limited Through its Operation Manager Shahid

Khan, Authorized Representative of The Petitioner, Having Registered

Office At 3rd Floor, Office No. 308 to 310, Sacred World Mall, Vitthal

Rao Shivarkar Road, Wanwadi, Pune, Maharashtra.

... Petitioner

versus

1 - The Union of India Through its Secretary, Ministry of Railways, Rail

Bhawan, New Delhi – 110001

2 - South Eastern Central Railway Through its Divisional Railway

Manager, Bilaspur, District- Bilaspur (C.G.)

3 - The General Manager, South East Central Railway, Bilaspur

Division, Bilaspur, Chhattisgarh.

4 - The Divisional Railway Manager, South East Central Railway,

Bilaspur Division, Bilaspur, Chhattisgarh.

5 - Sr. Divisional Mechanical Engineer (Sr. DME) South East Central

Railway (SECR), Bilaspur Division, Chhattisgarh.

6 - Sr. CDO/BSP, South East Central Railway, Bilaspur, Chhattisgarh.

Digitally signed by

MOHAMMED

AADIL KHAN

Date: 2026.05.12 7 - Asst. Divisional Mechanical Engineer (ADME) South East Central

12:37:46 +0530

Railway (SECR), Bilaspur Division, Chhattisgarh.

##PAGE2##

2

... Respondents

(Cause title taken from Case Information System)

For Petitioner : Mr. Gagan Tiwari, Advocate.

For Union of : Mr. Ramakant Mishra, Deputy S.G. with

India/Respondents Mr. Niraj Baghel and Ms. Sweta Rai,

Union Govt. Counsel.

Hon'ble Shr i Ramesh Sinha, Chief Justice

Hon'ble Shri R avindra Kumar Agrawal, Judge

Order on Board

Per Ramesh Sinha, C.J .

07-05-2026

1. The present petition has been filed by the Petitioner seeking the

following relief(s):-

“1] That, this Hon'ble Court may kindly be pleased to issue suitable

directions/orders/writs to the respondent authorities to set-aside

the impugned order dated 24.07.2025 (Annexure P-1) issued by

Respondent No.5 by which the Petitioner has been debarred for a

period of 02 years and the contract dated 13.09.2024 has been

terminated by the Respondent No.05 for being illegal and

arbitrary;

2] That, this Hon'ble Court be pleased to direct the respondent

authority to refund forfeited amount of Performance Guarantee,

set-aside exorbitant penalties and payment of admitted dues for

work already executed by the Petitioner, in the intrest of justice;

3] That, to grant any other relief(s)/order(s)/direction(s) in favor of

the petitioner, which may deem fit and proper in the facts and

circumstances of the case, may also be allowed.”

2. The brief facts of the case, as mentioned in the petition are that,

##PAGE3##

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the Petitioner which is a company engaged in providing railway facility

management and coach cleaning services, was awarded Tender No.

Mech-BSP-05-Station dated 05.06.2024 vide GeM Contract dated

13.09.2024 valued at Rs. 1,05,65,810/- for cleaning and watering of

trains at various stations under SECR Bilaspur and it commenced work

from 20.09.2024 after furnishing a Performance Guarantee of Rs.

5,28,400/-. It is case of the petitioner that during execution of the

contract, the Petitioner also carried out additional work as directed by

the Respondents; however, despite satisfactory performance, the

Respondents permitted a third-party agency to undertake part of the

contractual work and subsequently issued letter dated 14.06.2025

indicating vague deficiencies and notice 07.07.2025 without furnishing

any detailed inspection report or supporting material. Although the

Petitioner submitted detailed replies and sought verification of actual

performance, the Respondents, without conducting any enquiry or

granting an opportunity of hearing, arbitrarily terminated the contract

vide notice dated 24.07.2025 under Clause 7.4 of GCC (Service) 2018,

forfeited the Performance Guarantee and debarred the Petitioner from

participating in tenders for two years without issuance of any separate

show cause notice for blacklisting/debarment. The Petitioner further

contends that despite execution of work for approximately 308 days and

raising bills amounting to Rs. 44,57,903/-, the Respondents failed to

release legitima

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