J U D G M E N T

MANMOHAN, J: (Oral)

1. Present writ petition has been filed seeking stay of encashment of the bank guarantees dated 15th May, 2014 by the respondent no.1

2. Mr. Parag Tripathi, learned senior counsel for petitioner submits that the encashment letters are in violation of Regulation 16 of the Petroleum and Natural Gas Regulatory Board (PNGRB) as no prior notice was issued to the petitioner. Since Regulation 16 of PNGRB has been relied upon by learned senior counsel for the petitioner, the relevant portion of the same is reproduced hereinbelow:-

“16. Consequences of default and termination of authorization procedure.

(1) An authorized entity shall abide by all the terms and conditions specified in these regulations and any failure in doing so, except for the default of the service obligation under sub-regulation (1) of regulation 14 and force majeure, shall be dealt with as per the following procedure, namely:-

(a) the Board shall issue a notice to the defaulting entity allowing it a reasonable time to fulfil its obligations under the regulations;

(b) no further action shall be taken in case remedial action is taken by the entity within the specified period to the satisfactio