(1.) M/s ARETPL-AT(JV) approached the writ Court against the order contained in letter dtd. 12/10/2017 by which Letter of Acceptance (in short 'LOA') with respect to the work of "Hiring of HEMM for removal of OB at outsourcing patch of Konar part of AKK OCP of B-K Area for a period of four years" was cancelled for 2 days' delay in furnishing performance security.
(2.) The writ Court held that the stipulation under Clause 4.2 of NIT for furnishing performance security of 5% of annualized value of contract amount to be deposited within 28 days of LOA by the successful bidder was not a mandatory condition. The writ Court further held that the order of blacklisting for 3 years issued under Clause 4.2 of General Terms and Conditions (in short 'GTC') without issuing a show cause notice was bad in law.
(3.) The aforesaid findings by the writ Court in WP(C) No. 6106 of 2017 have been challenged by Central Coalfields Limited (in short 'CCL') on the grounds that (i) there was no concluded contract between the parties (ii) CCL cancelled LOA and passed the order of forfeiture and debarment as provided under NIT and, (iii) writ Court exceeded its jurisdiction to interpret the clauses in NIT.