2009 (1) TMI 903

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.... petitioner from participating in future tender processes for a period of two years effective from that date. 2. It is contended by the petitioner that the order is unsustainable and arbitrary as it is premised on assumptions. Learned counsel relied upon the averments as well as the reply to the show cause notice issued by the respondent, IRCTC on 12.12.2008. Counsel contended that each of the allegations were effectively refuted - in the reply to show cause,- and that the impugned order nevertheless was issued by IRCTC without holding proper enquiry and on the basis of assumptions. 3. Learned Sr. counsel further contended that the show cause notice issued by the respondents, proposing action against the petitioner, nowhere sought the lat....

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....volve a disputed questions of fact requiring the parties to lead evidence. In such cases, it would be appropriate for the aggrieved party to approach the Civil Court or seek recourse to arbitration, if they have agreed to such mechanism. 6. The observations above are not dispositive of the petition; there is one area where the petitioner's grievance appears to be well founded. The show cause notice issued to it nowhere reflects the IRCTC's thinking that the petitioner's transgressions are such as to its being debarred for any, much less a period of two years. In the circumstances, the impugned order to the extent it debars the petitioner is unsustainable in law. Before taking such action which virtually spells civil death on th....

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....nd in case of such termination the Security Deposit be forfeited by the IRCTC and the Licensee shall have no claim what so ever against IRCTC or any of the officials in consequence of such termination of the agreement. No refund of proportionate Licensee Fee shall be admissible in case of Termination under this clause. The Licensee agrees to make good all cost and expenses, if any incurred by the IRC TC for making the substitute arrangements referred to above. The License shall be also be debarred from participating in the future projects of IRCTC for a period of two year." 8. The above condition no doubt stipulates that the licensee has to be debarred from participating in future projects in the event of unsatisfactory service, poor ....