LAWS(DLH)-1975-5-2

MOHAN MEAKIN BREWERIES LTD Vs. UNION OF INDIA

Decided On May 09, 1975
MOHAN MEAKIN BREWERIES LIMITED Appellant
V/S
UNION OF INDIA Respondents

JUDGEMENT

(1.) This Civil Writ Petition has come up before this Full Bench on a reference by a Division Bench consisting of V. S. Deshpande and S. Rangarajan JJ., as the learned Judges, in the course of the hearing of the Writ Petition by them. considered that the decisions of two Division Benches of this Court in M]s. Air Foam llulnsn'tes {P) Ltd. New Delhi and another v. Uniun of linlia and olhers, 1974 DaL. 1 120, and in Marwar Tent Factory . Union of India. 1974 Rajdhani Law Reporter 218, require to be reexamined and explained by a larger Bench. Although it was not so staled expressly in the order of the Division Bench, the counsel for both the parties are agreed that the entire Writ Petition has been referred to this Full Bench for final disposal.

(2.) In order to appreciate the questions which arise for determination the facts which have given rise to this Writ Petition have to be stated. The petitioner. Messrs Mohan Mealdn Breweries Limited, Mohan Nagar, Ghaziabad (U.P), is a company registered under the Indian Companies Act. There arc three respondents to the Writ Petition. The first respondent is the Union of India through the Secretary. Ministry of Food and Agriculture, Government of India. The second respondent is the Chief Director of Purchase, Army Purchase Organisation, Ministry of Food & Agriculture. Government of India. The third respondent is the Chief Pay & Account Officer. Ministry of Food & Agriculture, Government of India.

(3.) The petitioner-company, by a lelter (Annexure '1) dated December 1. 1971, oflered to supply 6,00,000 litres of Rum to the Government of India for Defence Services at the rate of Rs L83 per litre. The second respondent wrote a letter (Annexure U). dated December 4, 1971, appreciating the said offer, and again wrote another letter (Annexure III), dated December 7, 1971, asking the petitioner company to mention its delivery schedule for 6,00,000 litres of Rum. The petitioner company sent a reply (Annexure IV), dated December 15, J971. and by another letter (Annexure Vll), dated January 3, 1972. the petitioner company requested the second respondent to write to the Excise Commissioner. Allahabad, for allocation of molasses to the petitioner company so that the requirement of Rum may be met. Accordingly, the second respondent wrote a lettet (Anenexure VI). dated January 20, 1972. to the Excise Commissioner, Allahabad (U.P.). On January 30. 1972, the second respondent sent a telegram (Annexure VIII) to the petitioner company stating that its offer to supply six lakh litres of Rum had been accepted, and asking the petitioner company to furnish security deposit of Rs. 54,900.00 in favour of the Assistant Chief Director of Purchase. The petitioner companv accordinglv ^ave a bank guarantee of Rs. 54.900.00 (vide its letter. Annexure IX. dated February 15, 1972). The second respondent then, by a letter (Annexure X). dated December 1, 1972, sent the terms and conditions of the contract for the aforesaid supply of Rum lor Defence Services.