Delhi High Court - Orders
M/S Velocis Systems Pvt Ltd vs National Informatics Centre Services ... on 29 December, 2025
Author: Sachin Datta
Bench: Sachin Datta
$~6
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ W.P.(C) 19821/2025
M/S VELOCIS SYSTEMS PVT LTD .....Petitioner
Through: Mr. Rajesh Mohan Sinha, Mr. Prateek
Mohan Sinha, Ms. Namita Sinha, Ms.
Nandini Harsh and Mr. Krishnendu
Das, Advs.
versus
NATIONAL INFORMATICS CENTRE
SERVICES INCORPORATED (NICSI) AND ANR .....Respondents
Through: None.
CORAM:
HON'BLE MR. JUSTICE SACHIN DATTA
ORDER
% 29.12.2025 CM APPL. 82755/2025 (Exemption)
1. Allowed, subject to all just exceptions.
2. The application stands disposed of.
W.P.(C) 19821/2025 and CM APPL.82754/2025
3. The present petition has been filed by the petitioner assailing an order dated 09.12.2025, passed by the respondent no.2 / Agriculture and Processed Food Products Export Development Authority (APEDA). The said order reads as under:
"Ref. CI-2023-24-00004/ODAK-2025-26-01160 Dated: 09.12.2025 To, Mr. Ashok Gupta Director Velocis Systems Pvt. Ltd.
A-25, Sector-67 Naida, Uttar Pradesh- 201301 Email: [email protected] This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 29/12/2025 at 20:34:30 Subject: Blacklisting of M/s Velocis Systems Pvt. Ltd. from providing services to Agricultural and Processed Food Products Export Development Authority.
Sir,
1. Whereas, M/s Velocis Systems Pvt. Ltd. was awarded a work order by National Informatics Centre Services Inc. (NICS!) on behalf of the Agricultural and Processed Food Products Export Development Authority (APEDA) for execution of the project relating to the Design, Development, Implementation and Maintenance of the TraceNet 2.0 Portal and Mobile Application.
2. Despite repeated communications dated 28.10.2024, 03.04.2025, 15.04.2025, 09.06.2025, 17.06.2025, 18.06.202, 01 .07.2025, 02.07.2025, 21 .07.2025, 24.07.2025, 25.07.2025, 31 .07.2025, 01.08.2025, 02.09.2025, 04.09.2025·, review meeting with Special Secretary dated 07.08.2025, and sufficient opportunities afforded to your firm to rectify the deficiencies and address the issues pointed out by APEDA from time to time (copy enclosed), your firm consistently failed to take effective and timely corrective measures, thereby demonstrating persistent non-compliance with the contractual obligations.
3. And whereas, your firm unilaterally withdrew from the execution of the project at a midway stage, resulting in incomplete deliverables, serious impediments, and delays in implementation, and causing substantial loss of reputation, operational setbacks, and avoidable inconvenience to APEDA.
4. In view of the above, the Competent Authority has decided that M/s Velocis Systems Pvt. Ltd. is hereby blacklisted from participating in any future tenders, contracts, or assignments of APEDA, with immediate effect.
5. APEDA further reserves its right to initiate any other action as deemed appropriate.
Yours faithfully, Dr. Sudhanshu Secretary"
4. It is the case of the petitioner that it has been sought to be blacklisted without even a Show Cause Notice (SCN) being issued to it.
5. Learned counsel for the petitioner submits that the prior communications, as referred to in the impugned order, contained no reference whatsoever to any proposed blacklisting action being taken against This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 29/12/2025 at 20:34:30 the petitioner.
6. It is further submitted that the blacklisting action, proposed to be taken against the petitioner is of permanent nature, which is impermissible, in terms of the judgment of Supreme Court laid down in M/s Techno Prints vs. Chhattisgarh Textbook Corporation & Ors(2025 SCC OnLine SC 343).
7. It is further submitted that the disputes between the parties are primarily contractual in nature and do not meet the threshold requirement for taking severe action, such as blacklisting, in terms of the dicta laid down by the Supreme Court in M/s Techno Prints vs. Chhattisgarh Textbook Corporation & Ors (supra) and BlueDreamz Advertising Pvt. Ltd. v. Kolkata Municipal Corporation (2024 SCC OnLine SC 1896).
8. Issue notice to the respondents, on necessary steps being taken by the petitioner, through all permissible modes, including electronically.
9. Let reply be filed by the respondents within a period of four weeks from today.
10. In the meantime, considering that the impugned action of blacklisting has been taken against the petitioner without issuance of any Show Cause Notice, which is in contravention of the dicta laid down in Gorkha Security Services v GNCTD (2014)9 SCC 105, the impugned blacklisting order shall remain stayed till the next date of hearing.
11. List on 28.01.2026.
12. Order dasti.
SACHIN DATTA (VACATION JUDGE) DECEMBER 29, 2025/cl This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 29/12/2025 at 20:34:30