Alleging registration of an FIR against Dilip Buildcon Limited ( DBL), NHAI issued a Show Cause Notice. Finally, the Ministry of Road Transport & Highways debarred DBL for 4 months, alleging a breach of the Integrity Pact by DBL. Challenging the said order of debarment, DBL approached the Delhi High Court by filing a Writ Petition.
The order of debarment was based on the registration of an FIR against DBL by CBI. Notably, the competent authority which passed the order never allowed a hearing for DBL before debarring.
DBL's Counsel argued that although NHAI issued the show cause notice, MORTH passed the order on 20.08.2022 without following the due process of law. It was highlighted that DBL was debarred even without providing relied-upon documents in which violations by DBL were alleged and without giving the opportunity of being heard in a reasonable manner, which is known to law. It was also argued that both NHAI and MORTH are duty-bound to act without prejudice and any pre-determined mindset, and in the instant case, they have failed to do so and acted in an arbitrary manner , with undue haste.
The Bench of Jistice Yashwant Verma, after hearing the submissions for DBL in WP (Civil) No. 15460 of 2022 ( M/s Dilip Buildcon Limited Vs. National Highways Authority of India & Anr) stayed the order of debarment, in the interim, on the ground that the impugned order has been passed in violation of the principles of natural justice and in complete disdain to the due process and the rule of law.
Senior Advocates Mr. Sandeep Sethi and Mr. Jayant Mehta, assisted by S&A Law Offices team led by Mr. Nilava Bandyopadhyay, Senior Partner, Mr. Anurag Abhishek, Partner and Ms. Vijaya Singh, Partner appeared for DBL before the Delhi High Court.