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Jharkhand High Court

Oil And Natural Gas Corporation Limited ... vs Positron Energy Private Limited ... on 13 June, 2016

Author: D.N. Patel

Bench: D.N. Patel, Ratnaker Bhengra

           IN THE HIGH COURT OF JHARKHAND AT RANCHI

                          L.P.A. No. 461 of 2015
                                  With
                            I.A. No.5610 of 2015

    1. Oil and Natural Gas Corporation Limited, having its registered 
    office at Jeevan Bharti, Tower­II, 124­Indira Chowk, Connaught 
    Place, PO­ Pratap Market, PS­ Sansad Marg, New Delhi­110001 
    and   having   on   of   its   offices   at   CBM   Development   Projet,   1st 
    Floor, HSCL Building, Bokaro Steel City, PO­ Bokaro Steel City, 
    PS­   Chandrapura,   District­Bokaro,   through   its   duly   authorized 
    representative­Sri   Pradip   Kumar   Basu,   son   of   Late   Niranjan 
    Basu,   Deputy   General   Manager   (Production),   CBM,   Oil   and 
    Natural Gas Corporation Limited, CBM Development Project, 1st 
    Floor, HSCL Building, Bokaro Steel City, PO­ Bokaro Steel City, 
    PS­ Chandrapura, District Bokaro;
    2.   DGM   (P)­I/c,   Marketing,   Oil   and   Natural   Gas   Corporation 
    Limited,   CBM   Development   Project,   1st   Floor,   HSCL   Buildjg, 
    Bokaro   Steel   City,   PO­   Bokaro   Steel   City,   PS­Chandrapura, 
    District­Bokaro.                                                   ...Appellants 
                                         Versus
    1.   Positron   Energy   Private   Limtied,   through   its   Constituted 
    Attorney­Sri   Sanjay   Sharma,   son   of   Late   Surendra   Prasad 
    Sharma, having its registered office at 411, Sukan Mall, Visat, 
    Gandhinagar   Highway,   Sabarmati,   PO­Chandkheda,   PS­ 
    Sabarmati, District­Ahmadabad ­380005;
    2.   Everest   Kanto   Cylinder   Limited,   through   its   constituted 
    attorney­Sri   Sanjay   Sharma,   son   of     Late   Surendra   Prasad 
    Sharma, having its registered office at 204, Raheja Centre, Free 
    Press   Journal   Marg,   214,   Nariman   Point,   PO­Kalbadevi,   PS­
    Marine Deive, District­Mumbai­400021.
    3.   State   Bank   of   Hyderabad,   through   Manager,   Corporate 
    Finance Branch, 11­C, Mittal Tower, 210, Nariman Point, PO­
    Kalbadevi,   PS­   Marine   Deive,   District­Mumbai­400021, 
    Maharashtra.                                                    ..Respondents 
CORAM:     HON'BLE MR. JUSTICE D.N. PATEL
           HON'BLE MR. JUSTICE RATNAKER BHENGRA

           For the Appellants:          Mr. Pandey Neeraj Rai, Advocate
           For the Respondents:         Mr. Indrajit Sinha &
                                        Mr. V.A. Sahay, Advocates

    14/Dated 13.06.2016:
    Oral Order:
    Per D.N. Patel, J.:
    1.            This Letters Patent Appeal has been preferred against the
    order passed by the learned Single Judge           in I.A. No. 2759 of 2015
    dated 02.07.2015 as well as against the order passed by the learned
    Single Judge in W.P.(C) No. 1449 of 2015 dated 17.04.2015.
    2.            Having heard counsel for both the sides and looking to the
    facts and circumstances of the case, it appears that contract was given
                           -2-


to respondent Nos. 1 & 2 for Coal Bed Methane Gas. The notification of
the award of the contract is dated 03.01.2015 and acceptance by the
respondent is dated      05.01.2015 and just within three months it
appears that dispute has arisen. It is the claim of the ONGC- appellant
that the respondents have not fulfilled certain conditions of notification
of the award of the contract and hence, a letter was written on
02.04.2015

giving warning to the respondents that certain conditions of notification of the award has been violated by the respondents and hence this appellant may deduct amount of Liquidated Damages in the event of any delay in the commencement of gas off-take beyond 03.04.2015. Nowhere in this letter the liquidated damage has been calculated nor even subsequently liquidated damages has been calculated, nor in this letter desire has been shown by ONGC to encash the bank guarantee as the letter challenged by the respondent in W.P. (C) No. 1449 of 2015 and this writ petition is pending before the learned Single Judge. Interim stay has been granted against the encashment of the bank guarantee.

3. Having heard counsel for both the sides and looking to the facts and circumstances of the case, it appears that in the letter dated 02.04.2015, nowhere it has been mentioned by this appellant to encash the bank guarantee nor any liquidated damages has been calculatedcalculated till today. Hence, we see no any reason to modify the order passed by the learned Single Judge, which is an interim order, passed during the pendency of WP(C) No. 1449 of 2015.

4. In view of the order passed by the Hon'ble Supreme Court in Atul Ltd. Vs. D.L.F. Industries Ltd. and others reported in (2001) 10 SCC 35 in paragraph no. 18 whereof direction has been given by Hon'ble the Supreme Court for disposal of the matters by the concerned High Court, we also request the learned Single Judge to dispose of the writ application bearing WP(C) No. 1449 of 2015 as early as possible and practicable, preferably within a period of six months from today.

5. In view of the aforesaid observations, this Letters Patent Appeal is disposed of.

6. I.A. No. 5610 of 2015 also disposed of in view of the final order passed in the L.P.A. ( D.N. Patel,J.) ( Ratnaker Bhengra,J.) Sharda/S.B.