RAWATSONS ENGINEERS(P)LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) WITH the consent of the parties this Writ application is being disposed of at the stage of admission itself as counter affidavit has been tiled on behalf of the concerned Railway and rejoinder thereto filed.Pleadings are completed.

(2.) HEARD the parties. The challenge in this Writ application is to the communication dated 24.3.2008 of the East Central Railway under the signature of Senior Divisional Engineer (2), East Railway, Danapur directing the petitioner to abide by the instructions issued to commence the work, deposit performance guarantee and execute the agreement within seven days, failing which action as provided under clause 62 of the General Conditions of Contract, 2001, to terminate the contract and get it completed and other actions would be taken against the petitioner. The other actions which are contemplated are forfeitures of earnest money and other punitive action. This communication is Annexure 1 to the Writ application.

(3.) MR . Rajiv Kumar Verma,learned Senior counsel appearing in support of the Writ petition has raised a very short and concised point that the aforesaid communication, as contained in Annexure 1, is wholly without jurisdiction, unenforceable and illegal because notwithstanding the alleged letter of acceptance issued by the Railway dated 6.3.2008 (Annexure 4) there is no concluded contract as between the parties and in absence thereof the petitioner is not bound by any agreement nor clause 62 of the General Conditions of Contract, 2001, can apply.