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Showing contexts for: assignment subcontract in Rakshak Securitas Private Limited vs State Of Chhattisgarh on 2 April, 2026Matching Fragments
10. It is also pertinent to take note of the relevant conditions of the tender governing the field, which categorically prohibit sub-letting of the contract work. Clause 4 of Section-III (General Commercial Conditions of the Contract) provides that "The Placement Agency shall not assign, sub contract or sublet the whole or any part of the works covered by the contract, under any circumstances." Further, Clause 13 stipulates that "The Contractor shall not assign, sublet or subcontract any part of the Contract at any time during contract period. Further, any Assignment/Subletting/Subcontracting, as above shall be void ab initio and the Corporation shall have right to terminate the work of concerned agency in case of violation of this clause." A conjoint reading of the aforesaid clauses makes it abundantly clear that sub-letting of the contract is absolutely prohibited and any such act, if established, entails serious consequences including termination of contract.
11. From the material available on record, it prima facie appears that the petitioner had entered into an arrangement with respondent No. 4 - Saturn Transmovers Private Limited, in relation to the execution of the work awarded under the tender. The correspondence placed on record, particularly the letter dated 02.07.2025 issued by respondent No. 4, clearly indicates that a substantial amount of ₹2,56,65,000/- was advanced to the petitioner specifically for facilitating its obligations under the manpower supply contract with the respondent Corporation. Such financial arrangement, having a direct nexus with the execution of contractual obligations, coupled with other attendant circumstances brought on record during the proceedings, clearly supports the conclusion that the petitioner had entered into an arrangement amounting to sub-letting or parting with its contractual responsibilities. In view of the express prohibition contained in Clauses 4 and 13 of the General Commercial Conditions of the Contract, which categorically bar any assignment, sub-letting or subcontracting of the work at any time during the contract period, the petitioner has rendered itself liable for action including termination of contract and consequential penalties. The relevant portion of the letter dated 02.07.2025, which reflects the nature of the arrangement between the petitioner and respondent No. 4, is reproduced hereinbelow: