STATE OF BIHAR Vs. HINDUSTAN AGENCIES

JUDGEMENT

(1.) The Superintending Engineer, Minor Irrigation, government of Bihar, patna placed an order for supply of 16,000. 00 HDPE pipes with the respondent- firm. Having found that the said order was placed in violation of the rules, the same was cancelled. The respondent challenged the cancellation order dated 13/7/1984 by way of a writ petition before the Patna High court. The writ petition was allowed and the High court by its judgment dated 31/7/1985 directed the State government to execute the contract and proceed to purchase the pipes from the respondent-firm. This appeal by way of special leave is against the judgment of the High court.

(2.) We have heard learned counsel for the State of Bihar. We are of the view that the High court fell into patent illegality in allowing the writ petition by the impugned judgment.

(3.) The High court by its order dated 19-3-1985 directed the State government to reconsider the question of cancelling the contract regarding the supply of pipes by the respondent to the government. secretary to the a government in the department concerned considered the matter afresh and came to the conclusion that the decision of the State government to cancel the supply order was justified. The representation of the respondent firm was thus rejected in the following terms: