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2024 Supreme(Online)(Mad) 58568

IN THE HIGH COURT OF JUDICATURE AT MADRAS
G.K.ILANTHIRAIYAN J
M/s. Royal Engineering Company – Appellant
Versus
The Chairman and Managing Director, Tamil Nadu Generation and Distribution Corporation Limited (TANGEDCO) – Respondent


Advocates:
For the Appellants/Petitioners: Mr. N.L.Rajah, Senior Counsel for Mr. K.Narasimhan
For the Respondents: Mr. L.Jaivenkatesh, Standing Counsel

Table of Content
1. the petitioner claims lack of due process in penalty imposition. (Para 2 , 3)
2. the respondents argue on material supply issues. (Para 4)
3. natural justice principles must be adhered to in administrative actions. (Para 6 , 7 , 8)

O R D E R

This Writ Petition has been filed challenging the order dated

19.08.2020 passed by the second respondent, thereby cancelling the purchase order and liquidated damages to the tune of Rs.7,11,706/- was levied.

2. The Petitioner is one of the regular bidder for various electrical item tenders floated by the respondents. In the year 2019, the purchase orders were placed by the respondents for various circles with the petitioner, by way of floating tenders for procurement of 500 sets of Transformer Centre Set (TC Set) O & M works in the year 2018 dated 22.10.2018. The petitioner/Company had bid for the tender and it was declared as a successful bidder for the tender work and the respondents placed the purchase orders on the basis of the tender. As per the agreement, delay in supply to the respondents deducing liquidated tenders was agreed in the purchase order. However, as per the purchase orders, the second respondent failed to make

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