Andhra Pradesh High Court - Amravati
Devi Engineering And Construction ... vs Container Corporation Of India Concor ... on 7 December, 2020
Author: U. Durga Prasad Rao
Bench: U. Durga Prasad Rao
IN THE HIGH COURT OF ANDHRA PRADESH AT slanavan (SPECIAL ORIGINAL JURISIDICTION) MONDAY , THE SEVENTH DAY OF DECEMBER TWO THOUSAND AND TWENTY :PRESENT: THE HON'BLE SRI JUSTICE U. DURGA PRASAD RAO WRIT PETITION NO: 23282 OF 2020 Between: Devi Engineering and Construction Private Limited, A Company incorporated under the provisirns of the Companies Act, 1956. having its Registered Office at Plot No 20, Flat No GI, IVY Grand, Ground Floor, Kakinada - 533 003 Andhra Pradesh, Represented by its Managing Director Mr J V Gangadhar S/O Mr Jagatha Padmanabham, Resident of Flat No 503, Lotus Expendito. Road No 1, Banjara Hills. Hyderabad -- 500034 Petitioner AND 1. Container Corporation of India CONCOR Bhawan, C-3, Mathura Road, New Delhi 110076 2. The Group General Manager (Engg),, CONCOR Annex, NSIC MDBP Building, 3rd Floor, Okhla Industrial Estate, New Delhi - 110020 Represented by its Chairman and Managing Director Mr V Kalyana Rama 3. The Branch Manager Oriental Bank of Commerce, Temple Street, Kakinada Respondents Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue an appropriate writ order or direction more particularly one in the nature of Writ of Mandamus declaring the action of the Respondent in unilaterally terminating the contract No CON/EP/MMLP/KAKINADA/Phase-l/T-I/2018 and seeking forfeiture of Security Deposit and Encashment of Bank Guarantee of an amount of Rs 1,63,36,113/- drawn on Oriental Bank of Commerce, Temple Street, Kakinada, vide Bank Guarantee No 08160000618 dated 01-06-2018 as illegal, arbitrary, unjust, malafide, without competence and against the constitutional guarantees and to consequently direct the 1st Respondent to forbear from claiming encashment of the said Bank Guarantee and allow the Petitioner Company to complete the contract No CON/EP/MMLP/KAKINADA/Phase-|/T-I/2018 within the stipulated time. IA NO: 1 OF 2020 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the writ petition, the High Court may be pleased to suspend the impugned notice dated 04.12.2020 including a direction to the respondents not to permit the encashment of Bank Guarantee No 08160000618 dated 01-06-2018 issued by the Petitioner through the 3° Respondent Bank in favour of the 1% Respondent, pending disposal of WP 23282 of 2020, on the file of the High Court. The petition coming on for hearing, upon perusing the Petition and the affidavit filed in support thereof and upon hearing the arguments of Sri Naumene Suraparaj Karlapalem, Advocate for the Petitioner, the Court made the following. ORDER:
Heard Sri Naumene Suraparaj Karlapalem, learned counsel for petitioner. His main plank of argument is that as per letter dated 27.08.2020, the date for completion of contractual works was extended up to 28.02.2021 and without waiting for completion of the work till that date, the respondents unjustly issued the impugned notice dated 04.12.2020 calling upon the petitioner to commence the work mentioned in the said notice within 48 hours and also to complete the same which is impossible. He submits that under the guise of the impugned notice, the respondents are trying to invoke the bank guarantee No.08160000618 dated 01.06.2018 issued by the petitioner through the 3™4 respondent. Upon perusal of the record and finding prima facie force in the submission of learned counsel for petitioner, there shall be an order restraining respondent Nos.1 and 2 from invoking the bank guarantee No.08160000618 dated 01.06.2018 issued by the petitioner through the 3" respondent for a period of three (3) weeks. The petitioner shall take personal notice on respondents by registered post with acknowledgment due and file proof of service. Post the matter on 21.12.2020.
Sd/- E. KAMESHWARA RAO ASSISTANT REGISTRAR I(TRUE COPY// For ASSISTANT REGISTRAR To
1. The Container Corporation of India CONCOR Bhawan, C-3, Mathura Road, New Delhi 110076
2. Mr V Kalyana Rama, Chairman and Managing Director, The Group General Manager (Engg), CONCOR Annex, NSIC MDBP Building, 3rd Floor, Okhla Industrial Estate, New Delhi - 110020 The Branch Manager Oriental Bank of Commerce, Temple Street, Kakinada One CC to Sri Naumene Suraparaj Karlapalem, Advocate [OPUC] One spare copy Rw TVR HIGH COURT DATED:07/12/2020 ORDER WP.No.23282 of 2020 POST ON 21.12.2020