LAWS(MPH)-2022-3-36

R.N. VYAS SONS Vs. WEST CENTRAL RAILWAY

Decided On March 22, 2022
R.N. Vyas Sons Appellant
V/S
West Central Railway Respondents

JUDGEMENT

(1.) The petitioner in the instant petition has challenged communication dtd. 11/1/2022 (Annexure-P-6), made by the Divisional Commercial Manager to Station Manager, West Central Railway, Itarsi and Vidisha (M.P.), wherein, it has been stated that the validity of the contract period of the petitioner with the respondents was expiring on 16/1/2022 and the same has been extended upto 31/3/2022 with certain conditions. The petitioner prayed that the license period should not have been extended only upto 31/3/2022 and status quo should be continued till further orders to be issued by the head office with regard to renewal of the license of the petitioner.

(2.) The brief facts of the case are that on 10/11/2014, tender notice was issued by the respondents for provision of catering services at Itarsi Railway Station for a period of five years. On 7/6/2016, the bid of the petitioner was accepted and a letter of acceptance for awarding license for the said work was issued in its favour. The petitioner commenced its operation with effect from 8/8/2016. However, a master license agreement was executed later on i.e. 24/6/2019, recognizing the fact that commencement of the operation of the work had started with effect from 8/8/2016. The original agreed terms for which the license was granted had expired. Hence vide order dtd. 29/12/2021, an extension was granted which also expired on 16/1/2022. A further extension was granted upto 31/3/2022.

(3.) Learned counsel appearing for the petitioner submits that in pursuance to some directions given by the Hon'ble Supreme Court directing to maintain status quo with respect to minor catering unit, the Railway Board issued instructions on 21/5/2019, directing all Zonal Railways to maintain status quo in respect of minor catering units as existing on 31/3/2019 for Indian Railways till further orders are issued from the Railway Board. He further submits that on 27/8/2019 again same directions have been reiterated to all Principal Chief Commercial Manager of Zonal Railways. He also places reliance on a clarification letter dtd. 31/12/2021 to state that necessary action is required to be taken to see that the status quo should continue with respect to renewal of catering license. He, therefore, submitted that the respondents-authorities have erred in limiting period of license only upto 31/3/2022 and have ignored various directions given by the higher authorities.