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Oasis Techno Construction Ltd. vs The Managing Director, National ... on 12 October, 2022

Bench: Chief Justice, Ajay Rastogi, S. Ravindra Bhat

                                                   1

     ITEM NO.29                            COURT NO.1                SECTION XIV

                                 S U P R E M E C O U R T O F     I N D I A
                                         RECORD OF PROCEEDINGS

     SPECIAL LEAVE PETITION (CIVIL) Diary No(s). 32354/2022

     (Arising out of impugned final judgment and order dated 28-09-2022
     in RP No. 12/2022 28-09-2022 in PIL(SUO MOTO) No. 2/2019 passed by
     the Gauhati High Court)

     OASIS TECHNO CONSTRUCTION LTD.                                   Petitioner(s)

                                                  VERSUS

     THE MANAGING DIRECTOR,
     NATIONAL HIGHWAY AND INFRASTRUCTURE
     DEVELOPMENT CORPORATION LIMITED & ORS.                           Respondent(s)

     (WITH OFFICE REPORT)

     Date : 12-10-2022 This petition was called on for hearing today.

     CORAM :
                          HON'BLE THE CHIEF JUSTICE
                          HON'BLE MR. JUSTICE AJAY RASTOGI
                          HON'BLE MR. JUSTICE S. RAVINDRA BHAT


     For Petitioner(s)               Mr. P.S. Patwalia, Sr. Adv.
                                     Mr. Chritarth Palli , AOR

     For Respondent(s)


                         UPON hearing the counsel the Court made the following
                                              O R D E R

This Special Leave Petition arises out of the order dated 28.09.2022 passed by the Gauhati High Court in a Writ Petition where certain issues are being monitored by the High Court from time to Signature Not Verified Digitally signed by DEEPAK SINGH time.

Having considered the fact that despite award of contract as early as on 01.09.2021, there  2 was no progress in completing the work within the time stipulated, the High Court directed in paragraphs 11 and 13 as under.

“11. We have taken note that the work-order with regard to Package- III was issued as early as on 01.09.2021 for an amount of Rs. 111.19/- Crore and that the time stipulation to complete the work was within 12 (twelve) months. However, nothing has been done and from the various affidavits filed by the Authority Engineer we have seen that the respondent No. 12 is not serious for execution of the work with regard to Package- III. Further, as the respondent No. 12 has already abandoned the work and it is confirmed by Mr. Yashpal Sharma, Director, M/s Oasis Techno Construction Limited/ respondent No. 12 today, we are constrained to pass a direction to the NHIDCL authorities not to release any pending dues including the Bank Guarantee to the respondent No. 12 without the leave of this Court. Taking into consideration the lackadaisical, irresponsible behavior as well as making deliberate false promises on oath before this Court we direct the respondent No. 12 to liquidate 10% (ten percent) of the total contract amount (Rs. 111.19/- Crore) to the NHIDCL authorities within a period of one month from today.

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13. Mr. Yashpal Sharma, Director M/s Oasis Techno Construction Limited/ respondent No. 12 also submits before this Court that there are three Directors in the M/s Oasis Techno Construction Limited who take a collective decision with regard to all projects. Accordingly, we direct all the three Directors to be present in Court on the next returnable date to enable this Court to pass appropriate orders. The further appearance of  3 Mr. M.S. Deol, Executive Director, NHIDCL Nagaland and Mr. Ajay Batra, Joint Director, PMU is dispensed with for the time being.” Thus, in terms of paragraph 11, the petitioner has been directed to “liquidate 10% (ten percent) of the total contract amount”, while in terms of paragraph 13, three Directors of the petitioner have been asked to remain present in Court on the next returnable date.

We have heard Mr. P.S. Patwalia, learned Senior Advocate in support of the petition. Since direction regarding making over of the amount as directed in paragraph No.11 and direction commanding the presence of three directors were passed by the Court on its own, we do not deem it appropriate to issue notice in the matter and proceed to dispose of the matter with following directions:

(a) The petitioner shall deposit 10% of the contract amount as indicated in paragraph 11 with the National Highway and Infrastructure Development Corporation Limited (NHIDCL) on or before 30.11.2022. The NHIDCL shall keep the amount in an interest bearing fixed  4 deposit account in a nationalized Bank with auto renewal facility.

(b) If the amount is so deposited, three Directors of the Company can enter appearance through a lawyer and their personal appearance need not be insisted upon.

(c) The deposit, as indicated above, shall be without prejudice to the rights and contentions of the petitioner.

(d) The petitioner shall be at liberty to file such application/affidavit, indicating its stand and/or justification, if so advised.

The matter shall be gone into by the High Court before passing any orders for appropriation of the amount so deposited by the petitioner.

With these directions, the instant special leave petition and pending applications are disposed of.

(NEETU KHAJURIA) (VIRENDER SINGH) ASTT. REGISTRAR-cum-PS COURT MASTER