{"id":46949,"date":"2005-12-15T00:00:00","date_gmt":"2005-12-14T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/poorvanchal-caterers-and-anr-vs-indian-railway-catering-and-on-15-december-2005"},"modified":"2017-07-04T15:53:45","modified_gmt":"2017-07-04T10:23:45","slug":"poorvanchal-caterers-and-anr-vs-indian-railway-catering-and-on-15-december-2005","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/poorvanchal-caterers-and-anr-vs-indian-railway-catering-and-on-15-december-2005","title":{"rendered":"Poorvanchal Caterers And Anr. vs Indian Railway Catering And &#8230; on 15 December, 2005"},"content":{"rendered":"<div class=\"docsource_main\">Delhi High Court<\/div>\n<div class=\"doc_title\">Poorvanchal Caterers And Anr. vs Indian Railway Catering And &#8230; on 15 December, 2005<\/div>\n<div class=\"doc_citations\">Equivalent citations: II (2006) BC 547, 126 (2006) DLT 674<\/div>\n<div class=\"doc_author\">Author: M Katju<\/div>\n<div class=\"doc_bench\">Bench: M Katju, M B Lokur<\/div>\n<\/p>\n<pre><\/pre>\n<p>JUDGMENT<\/p>\n<p>Markandeya Katju, C.J.<\/p>\n<p>1. Though the grievance of the petitioner is about the award of a contract for Train  No.  4005-06 Lichchvi Express, it emanates from the grievance of the petitioner with respect to Train  No.  2707-2708 Andhra Pradesh Sampark Kranti Express for which respondent  No. 4 was the highest bidder but was allegedly wrongly awarded the contract by a letter dated 22\/24.10.2005.\n<\/p>\n<p>2. In terms of Clause 7.1 of the bid documents respondent  No. 4 was required to deposit the annual license Fee in respect of Andhra Pradesh Sampark Kranti Express within a period of seven days time.  Clause 7.1 and 7.2 of the bid documents read as under:-\n<\/p>\n<p>7.1  Acceptance of award of license and submission of Security Deposit:\n<\/p>\n<p> Successful parties would be given 7 (seven) days time, or less time as the case may be, from the date of issue of the letter of award of license for payment of the Security Deposit and the first Installment of license fee and to convey his acceptance of award of license.  In case Licensee fails to accept the offer of award of license, Licensee shall be debarred from participating in the future projects of IRCTC for a period of one year.\n<\/p>\n<p>7.2  Submission of license fee\/Security Deposit:\n<\/p>\n<p> The Licensee shall deposit the license fee as intimated by IRCTC within the stipulated period and Licensee would be allowed 15 (fifteen) days or less time as advised by IRCTC, from the date of issue of letter for award of license, to provide on board and catering services in train.\n<\/p>\n<p>3. It is submitted by learned counsel for the petitioner that the license Fee, which ought to have been deposited by respondent  No. 4 on or about 27\/31.10.2005  was not deposited in time. On the contrary, by a letter 8.11.2005 respondent  No. 4 was given further time till 11.11.2005 to deposit the amount.  It is submitted that this is in clear violation of Clause 7.1 and 7.2 of the bid documents mentioned above.\n<\/p>\n<p>4. The contention of learned counsel for the petitioner is that as a result of this violation, respondent  No. 4 is liable to be debarred from bidding in respect of future projects of the railways in view of Clause 5.5 of the bid documents which reads  as follows:-\n<\/p>\n<p> Debarment of the bidders:   In case the successful bidders (highest financial aid) refuses to accept the offer of award of license, he will be debarred from participating  in the bidding process of future projects of IRCTC for a period of one year.\n<\/p>\n<p>5.   In response it has been pointed out by learned counsel for respondent  No. 1  the award of contract  with regard to Train  No.  2707-08 Andhra Pradesh Sampark Kranti Express  was the subject matter of Writ Petition (C)  No. 11013\/2005 and Misc.Case  No.  11005\/2005 in the High Court of Orissa  filed by Indian Railway Major &amp; Minor Caterers Association v.  Union of India and Ors.  In that case respondent  No. 4 was the highest bidder but on 6.10.2005  the High Court of Orissa had passed a status quo order  which was extended from time to time on 7.11.2005, 16.11.2005, 17.11.2005 and 23.11.2005.  It is now stated before us that the status quo order has  been vacated only on 14.12.2005.   It is submitted by learned counsel for respondent  No. 1 that  in view of the status quo order passed by the Orissa High Court, it was not possible to proceed further in granting the contract to respondent  No. 4.  It is stated additionally that the Railways themselves were not in a position to hand over the pantry car to respondent  No. 4 because of the status quo order passed by the High Court of Orissa  and under these circumstances, time was extended for making the deposit.\n<\/p>\n<p>6.  Having heard learned counsel for the parties, we are satisfied that there was sufficient reason for respondent  No. 1 in granting extension of time to respondent  No. 4 to make the deposit in respect of Andhra Pradesh Sampark Kranti Express.  This extension was occasioned by the status quo order passed by the High Court of Orissa and it would  have been highly improper for respondent  No. 1 to have proceeded further in the matter  and granted a contract to respondent  No. 4 in view of the status quo order passed by the High Court of Orissa.\n<\/p>\n<p>7. Since we do not find any infirmity in respondent  No. 1 having granted extension of time to respondent  No. 4 to make the deposit in respect of  Andhra Pradesh Sampark Kranti Express, hence, the petitioner has not made out a case for debarment of respondent  No. 4 under Clause 5.5 of the bid documents.\n<\/p>\n<p>8. In so far as the present writ petition is concerned, it pertains to grant of a contract in respect of Train  No.  4005-06 Lichchvi Express.  In so far as the bid in respect of this train is concerned, there is no dispute about the fact that respondent  No. 4 had made payment within the time specified by respondent  No. 1 i.e. within a period of 7 days.  This is not disputed by learned counsel for the petitioner.  Under these circumstances, we do not find any error in respondent  No. 1 having granted the contract to respondent  No. 4 in respect of Train  No.  4005-06  Lichchvi Express.\n<\/p>\n<p>9. In any event, this is not a fit case for exercise of our discretion in writ jurisdiction under Article 226 of the Constitution.  Even though Clause 7.1 and 7.2 may appear to be mandatory, but in the facts and circumstances of this case, in view of the status quo order granted by the High Court of Orissa, respondent  No. 1 was entitled to extend the time for depositing the license Fee by respondent  No. 4.\n<\/p>\n<p>10. The writ petition is dismissed.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Delhi High Court Poorvanchal Caterers And Anr. vs Indian Railway Catering And &#8230; on 15 December, 2005 Equivalent citations: II (2006) BC 547, 126 (2006) DLT 674 Author: M Katju Bench: M Katju, M B Lokur JUDGMENT Markandeya Katju, C.J. 1. Though the grievance of the petitioner is about the award of a contract for [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[14,8],"tags":[],"class_list":["post-46949","post","type-post","status-publish","format-standard","hentry","category-delhi-high-court","category-high-court"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Poorvanchal Caterers And Anr. vs Indian Railway Catering And ... on 15 December, 2005 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/poorvanchal-caterers-and-anr-vs-indian-railway-catering-and-on-15-december-2005\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Poorvanchal Caterers And Anr. vs Indian Railway Catering And ... on 15 December, 2005 - Free Judgements of Supreme Court &amp; 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