PARKASH PLATINUM PRIVATE LTD Vs. NATIONAL FERTILIZERS LTD

JUDGEMENT

(1.) M/s Parekh Platinum Private Limited a Company incorporated under the Companies Act, 1956 seeks quashing of orders Annexure P-5 and Annexure P-16 vide which National Fertilizers Limited, a Government of India Undertaking, respondent herein had informed it that unless and until the loss of two Platinum Rhodium Scrap Gauzes was established no scrap for refining and re-fabrication shall be sent to it and decision taken by National Fertilizers was conveyed through Annexure P-16 that after examination of tender documents of the petitioner, it was not possible for it i.e. National Fertilizers Limited to accede to their request and as such, the said documents were returned.

(2.) Before, however, the controversy on merits with a view to find out illegality or otherwise of the orders Annexure P-5 and Annexure P-16 is examined, it shall be useful to extract the facts so projected in the pleadings of the parties.

(3.) The petitioner, as noticed above, a Company incorporated in the Companies Act came into existence in 1987 and it took over running concern known as M/s Jyoti Refinery in the same very year with its assets and liabilities. In-August 1984 an agreement was entered into between the petitioner and the respondent whereby the petitioner had agreed to refine and rework certain gauzes which were to be entrusted to it by the respondent, National Fertilizers Limited. The petitioner was asked to refine the platinum and rhodium alloy obtained after melting the gauzes supplied by the respondent and therefrom to manufacture platinum and rhodium gauzes in accordance with the specifications of the respondent. The case of the petitioner is that it successfully carried out its obligations and for that precise reason, afresh contract on identical terms was entered into between the parties on December 23, 1987. A copy of the contract has been placed on the record as Annexure Pl. The petitioner in accordance with the agreement aforesaid was to furnish to the respondent a Bank guarantee for the sum of Rs. 20. Lacs. The Bank guarantee was accordingly furnished and the same was extended from time to time at the request of the respondent. Last such extension is stated to have been done upto September 2, 1990.