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2026 Supreme(Online)(Ker) 7418

IN THE HIGH COURT OF KERALA AT ERNAKULAM
ZIYAD RAHMAN A.A., J
K. BABY – Appellant
Versus
UNION OF INDIA – Respondent


Advocates:
For the Appellants/Petitioners: SHRI.RAJESH.R
For the Respondents: SHRI.V.GIRISHKUMAR, SHRI.ASP.KURUP, SRI.SADCHITH.P.KURUP, SRI.C.P.ANIL RAJ, SRI.SIVA SURESH, SMT.B.SREEDEVI, SMT.ATHIRA VIJAYAN, SMT.SWATHI KRISHNA, P.H.

Table of Content
1. petitioner's grievance on non-release of performance guarantee. (Para 1 , 2 , 3)
2. discussion of contract terms and responses from respondents. (Para 4 , 5)
3. assessment of performance guarantee release condition based on contract fulfillment. (Para 6)

JUDGMENT

The petitioner is aggrieved by the non-release of the performance guarantee furnished by the petitioner at the time of execution of Exts.P1 and P2 contracts. The petitioner is an ex-service man and is the proprietor of M/s. Omkar Security Agency, Karunagappally, which is engaged in the supply of manpower to various Central and State Government organizations and undertakings.

2. The petitioner entered into contracts with the 3rd respondent as evidenced by Exts.P1 and P2 for providing the services of data entry operators. As per Ext.P1, three persons were supplied and as per Ext.P2, thirty three persons were supplied by the petitioner. The tenure of the agreements was from 01.01.2021 to 31.12.2021. As per the terms and conditions of the agreements, the petitioner furnished Exts.P3 to P5 performance guarantee by way of bank guarantee issued by the 4th respondent Bank. The term of the contract was from 01.01.20

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