Friday, 24, Apr, 2026
 
 
 
Expand O P Jindal Global University
 
  
  
 
 
 

M/S B.R. Arora & Associates (P) ... vs Airports Authority Of India
2016 Latest Caselaw 7548 Del

Citation : 2016 Latest Caselaw 7548 Del
Judgement Date : 22 December, 2016

Delhi High Court
M/S B.R. Arora & Associates (P) ... vs Airports Authority Of India on 22 December, 2016
$~20
*IN THE HIGH COURT OF DELHI AT NEW DELHI
%                                   Judgment delivered on: 22.12.2016
+       W.P.(C) 11714/2016
M/S B.R. ARORA & ASSOCIATES (P) LTD. & ORS..... Petitioners
                           versus

AIRPORTS AUTHORITY OF INDIA                               ..... Respondent
Advocates who appeared in this case:
For the Petitioner :                Ms. Anusuya Salwan with Mr. Vaibhav Dang
                                    and Mr. B.R. Arora, Advocates.

For the Respondents :               Mr. Digivjay Rai, Advocate with Mr.V.R. Aray,
                                    JGM (Law)
CORAM:-
HON'BLE MR JUSTICE SANJEEV SACHDEVA

                              JUDGMENT

22.12.2016 SANJEEV SACHDEVA, J. (ORAL)

CM No.46119/2016 (exemption)

Exemption is allowed subject to all just exceptions.

W.P.(C) 11714/2016 & CM No.46118/2016 (stay)

1. The petitioner impugns order dated 17.06.2016, communicated

to the petitioner that the petitioner firm has been blacklisted for a

period of 5 years w.e.f 01.07.2013 from participating in any tenders of

Airport Authority of India in future and further informing the

petitioner that henceforth the Airports Authority of India shall not

award any contract to the petitioner or to any firm or company having

business link in the form of Joint Venture or the like with the

petitioner.

2. It is contended that the respondent had invited tender for the

work of expansion of apron, construction of additional taxiway,

extension of runway and allied works at the Varanasi Airport. The

petitioner was awarded the contract.

3. The petitioner is alleged to have completed the work to the

entire satisfaction of the respondent on 20.08.2010. The final bill of

the petitioner was submitted but the same was not accepted and a

meagre amount credited to the petitioner's bank account.

4. It is contended that after the expiry of the defect liability period,

the respondents invoked the petitioner's bank guarantee that was

furnished towards security deposit. When the petitioner approached

this Court, impugning the action of the respondent of encashing the

bank guarantee, a dispute Resolution Board was constituted to decide

the disputes between the parties. This petition does not concern the

dispute raised therein but concerns the action of the respondent in

blacklisting the petitioner.

5. An offshoot of the said dispute was that the respondent

blacklisted the petitioner by order dated 01.07.2013. The petitioner

impugned the said order by filing a writ petition. The writ petition

was disposed of directing the respondents to grant liberty to the

petitioner to reply to the show cause notice and to afford a personal

hearing.

6. Consequent to the directions passed by this Court directing

filing of a response and a personal hearing, the impugned order dated

17.06.2016 has been passed.

7. Perusal of the impugned order shows that the Competent

Authority has merely passed a one-line order that it has decided to,

inter alia, blacklist the petitioner for a period of five years with effect

from 01.07.2013. The order does not reveal any thought process,

reasoning, or consideration of the response given by the petitioner.

8. The original departmental file of consideration has been

produced. Perusal of the file shows that a hearing was granted by the

Executive Director (Engineering) on 21.03.2016. The file noting

contains various notes of several officers. The relevant file noting of

the Executive Director (Engineering) shows that he had heard the

petitioner on 21.03.2016 and, thereafter, there is a noting by him that

the petitioner be debarred for a period of five years commencing from

01.07.2013.

9. The file does not contain any deliberation by the Executive

Director (Engineering), who had heard the petitioner, giving reasons

or discussing the points and contentions raised by the petitioner.

10. In my view, since the impugned order is cryptic and no reason

or rationale can be discerned there from which could show that there

is any application of mind to the pleas and objections raised by the

petitioner, the order cannot be sustained. Accordingly, the impugned

order dated 17.06.2016 blacklisting the petitioner for a period of five

years w.e.f. 01.07.2013 from participating in any tender of Airports

Authority of India in future and the decision of the respondents that

that henceforth the Airport Authority of India shall not award any

contract to the petitioner or to any firm or company having business

link in the form of joint venture or the like with the petitioner, is set

aside.

11. It is clarified that the setting aside of order dated 17.06.2016

would not preclude the respondents from considering the reply

furnished by the petitioner and disposing of the show cause notice by

way of a speaking order. Till the respondents pass a fresh speaking

order, the consequences of setting aside of order dated 17.06.2016

shall enure to the benefit of the petitioner.

12. It is further clarified that this Court has not examined the

contentions of the petitioner that the Executive Director (Engineering)

is not a competent authority and could not have passed the impugned

order. This issue is left open.

13. The writ petition is disposed of in the above terms.

14. Dasti under the signatures of the Court Master.

DECEMBER 22, 2016/st                         SANJEEV SACHDEVA, J


 

 
Download the LatestLaws.com Mobile App
 
 
Latestlaws Newsletter
 

Publish Your Article

 

Campus Ambassador

 

Media Partner

 

Campus Buzz

 

LatestLaws Guest Court Correspondent

LatestLaws Guest Court Correspondent Apply Now!
 

LatestLaws.com presents: Lexidem Offline Internship Program, 2026

 

LatestLaws.com presents 'Lexidem Online Internship, 2026', Apply Now!

 
 

LatestLaws Partner Event : IDRC

 

LatestLaws Partner Event : IJJ

 
 
Latestlaws Newsletter