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M/S KULJA INDUSTRIES LIMITED vs. CHIEF GEN. MANAGER W.T. PROJ. BSNL AND ORS.

SCR Citation: [2013] 14 S.C.R. 430
Year/Volume: 2013/ Volume 14
Date of Judgment: 04 October 2013
Petitioner: M/S KULJA INDUSTRIES LIMITED
Disposal Nature: Appeal Allowed
Neutral Citation: 2013 INSC 673
Judgment Delivered by: Hon'ble Mr. Justice T.S. Thakur
Respondent: CHIEF GEN. MANAGER W.T. PROJ. BSNL AND ORS.
Case Type: CIVIL APPEAL /8944 /2013
Order/Judgment: Judgment
1. Headnote

Contract - Contract with Government Company - For supply of goods - Purchaser black-listed the supplier permanently on the ground that it committed gross misconduct and irregularities by receiving excessive payments from the purchaser - Held: Power to black-list a contractor is inherent in the party allotting the contract - But if such decision is taken by State or its instrumentalities, it is subject to judicial review and open to scrutiny on the touchstone of fairness, relevance, natural justice, non-discrimination, equality and proportionality - 'Debarment' though recognised as an effective method for disciplining deviant suppliers, it is never permanent - Period of debarment would invariably depend  upon the nature of the offence committed by the erring contractor - In the facts of present case, permanent debarment is too harsh - Matter remanded back to competent authority to determine the period of debarment - Constitution of India, 1950 - Arts.226 and 32 - Judicial Review. 

2. Case referred
3. Act
      No Data Found!!!!!
4. Keyword
  • Contract
  • Judicial Review
5. Equivalent citation
    Citation(s) 2013 AIR 9 = 2014 (14) SCC 731 = 2014 (14) Suppl. SCC 731 = 2013 (13) JT 242 = 2013 (13) Suppl. JT 242 = 2013 (12) SCALE 423