UTSAV FLAVOURS (A UNIT OF M/S HOTEL AMARJEET PVT.LTD., NAGPUR) TATANAGAR RAILWAY STATION Vs. UNION OF INDIA THROUGH THE SECRETARY, MINISTRY OF RAILWAY

JUDGEMENT

(1.) THIS writ application is directed against the order as contained in letter no. 2003/1RCTC/FP/Tata dated 9.10.2007 (Annexure -8) under which license granted to the petitioner to operate Food Plaza at Tatanagar Railway Station was terminated.

(2.) INDIAN Railway Catering and Tourism Corporation Limited (IRCTC), Government of India Undertaking in order to upgrade the standard of catering services in Indian Railway and also at important stations including at Tatanagar Railway Station decided to set up Food Plaza so as to fulfill the requirement of large section of passengers. Pursuant to such decision IRCTC invited formal bids, vide bid dated 7.2.2003 from prospective licensees. The petitioner also participated in the bid process and was declared successful. Consequently, the petitioner was awarded with license vide letter dated 18.2.2003 to operate Food Plaza at Tatanagar Railway Station. As per Clause 14.7 of the said offer letter dated 18.2.2003, the petitioner was required to execute an agreement within two months of the issuance of the letter of award. Further as per the terms of the bid license for operating Food Plaza was awarded for a period of 9 years extendable to 12 years. Again under Clause 18 of the bid document locking period of 4 years was provided during which period the licensee was supposed to bound by the projection of annual net sales turnover and if licensee chooses to close the business, he will be forfeiting the security deposit. 2. On getting license to run Food Plaza, the petitioner commenced his business in the name and style as M/s Utsav Flavours at Tatanagar Railway Station with effect from 10.9.2003 and after doing business for about four years, the petitioner entered into an agreement with IRCTC, though as per the terms of the bid, the said agreement was to be executed within two months from the date .of grant of the license. Under the agreement, terms and conditions were the same which were there in the bid document.

(3.) BEING aggrieved with that, this writ application has been filed,