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M/S Raj Construction Through Its ... vs The State Of Bihar And Ors
2025 Latest Caselaw 2381 Patna

Citation : 2025 Latest Caselaw 2381 Patna
Judgement Date : 24 March, 2025

Patna High Court

M/S Raj Construction Through Its ... vs The State Of Bihar And Ors on 24 March, 2025

Author: Partha Sarthy
Bench: Partha Sarthy
          IN THE HIGH COURT OF JUDICATURE AT PATNA
                   Civil Writ Jurisdiction Case No.8955 of 2018
     ======================================================
     M/s Raj Construction Through Its Partner, Md. Aftab Alam Son of Md. Hasan
     Haidar, resident of Village- Meenapur, P.S.- Balia Belon, District- Katihar.

                                                                   ... ... Petitioner/s
                                          Versus

1.   The State of Bihar
2.   The Principal Secretary, food and Consumer Protection Department, Govt.
     of Bihar, Patna.
3.   The Chairman-cum-Managing Director, Bihar State Food and Civil Supplies
     Corporation, Patna.
4.   The Deputy Chief, Transportation, Bihar State Food and Civil Supplies
     Corporation, Patna.
5.   The District Magistrate, Katihar.
6.   The Deputy Development Commissioner, Katihar.
7.   The Additional Collector, Katihar.
8.   The District Transport Officer, Katihar.
9.   The Sub-Divisional Officer, Katihar Sadar.
10. The District Supply Officer, Katihar.
11. The Senior Deputy Collector (Legal), Katihar.
12. The District Manager, Bihar State Food and Civil Supplies Corporation,
     Katihar.

                                               ... ... Respondent/s
     ======================================================
     Appearance :
     For the Petitioner/s   :       Mr. Bindhyachal Singh, Sr. Advocate
                                    Mr. Ram Binod Singh, Advocate
     For the Respondent/s   :       Mr. S. Raza Ahmad, AAG-5
                                    Mr. Alok Ranjan, AC to AAG-5
     For the B.S.F.C.       :       Mr. Anjani Kumar, Sr. Advocate
                                    Mr. Shailendra Kumar Singh, Advocate
     ======================================================
     CORAM: HONOURABLE THE ACTING CHIEF JUSTICE
                        and
             HONOURABLE MR. JUSTICE PARTHA SARTHY
                    ORAL JUDGMENT
     (Per: HONOURABLE THE ACTING CHIEF JUSTICE)
 Patna High Court CWJC No.8955 of 2018 dt.24-03-2025
                                           2/5




         Date : 24-03-2025

                     We have heard Mr. Bindhyachal Singh, the

         learned Senior Advocate for the petitioner/Firm and Mr.

         Anjani Kumar, the learned Senior Advocate for the Bihar

         State Food and Civil Supplies Corporation Limited.

                     2. The petitioner's Firm has been blacklisted for

         five years, which order of blacklisting is contemplated to

         be challenged by the petitioner before the appropriate

         authority. The petitioner/Firm shall also challenge the

         forfeiture of the Bank guarantee and earnest money

         before the appellate authority. These facts have been

         recorded in the order passed by this Court on

         12.04.2019.

                     3

. The only challenge of the writ petitioner

presently is thus on the decision of the respondent in

adjusting the outstanding bills against the losses suffered

by the Corporation.

4. Mr. Bindhyachal Singh, the learned Senior

Advocate submitted that the show-cause notice issued to Patna High Court CWJC No.8955 of 2018 dt.24-03-2025

the Firm does not refer to this contemplated action and

therefore, he was not in a position to challenge or respond

to the assessment of the Corporation about the losses

having been caused to it because of any fault on the part

of the petitioner/Firm. Even otherwise, for taking any

punitive action, which in this case is adjustment of the

bill amounts against earlier payments. Specific notice with

respect to the action proposed to be taken is required to

be given to the contractor. That not having been done,

the order, to that extent, cannot be sustained. That apart,

merely listing the faults of the Firm in storage of food-

grains and a ballpark assessment of the losses of the

food-grains in terms of quantity would not be enough and

the losses are to be quantified for adjusting the

outstanding bills of the petitioner/Firm.

5. To that extent, we have found the notice

issued to the petitioner to be absolutely silent about any

proposed action of adjusting the bills of the petitioner.

6. Thus, the part of the order dated 27.03.2018 Patna High Court CWJC No.8955 of 2018 dt.24-03-2025

passed by the Managing Director of the Corporation,

which directs for adjustment of the bills of the petitioner,

is set aside with the liberty to the Corporation to apprise

the petitioner by way of notice as to the quantification of

the losses against which such bills could be adjusted,

giving reasonable time to the Firm to respond.

7. On perusal of the response of the petitioner, a

fresh order shall be passed by the Managing Director

within a reasonable period of time with respect to

adjustment of bills of the petitioner.

8. If the notice, as directed by us, is issued and

is received by the petitioner within a period of four weeks

and the petitioner responds to it within further period of

two weeks, the Managing Director is expected to pass a

final/reasoned order within next four weeks and the order

shall be communicated to the petitioner forthwith.

9. It is expected that the petitioner shall also

cooperate in the matter.

10. With the aforesaid observation/directions, Patna High Court CWJC No.8955 of 2018 dt.24-03-2025

the writ petition stands disposed off.

11. Interlocutory application/s, if any, also

stands disposed of.

(Ashutosh Kumar, ACJ)

(Partha Sarthy, J) avinash/Sunil AFR/NAFR CAV DATE Uploading Date 25.03.2025 Transmission Date

 
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