The Supreme court ruled that one cannot be blacklisted for life.
The challenge in the present appeal is to an order passed by the High Court of Allahabad, whereby the writ petition filed by the appellant against the order of black listing the appellant from the panel of approved contractors was dismissed.
The division bench of Justice Hemant Gupta and Justice Vikram Nath noted that the appellant submitted its offer to carry out certain construction works in pursuance of tender notice. However, in the process, there was an allegation that the appellant used foul language against the officers of the State. A show cause notice was issued. After consideration of the reply, the appellant was black listed.
The court further observed that while passing an order of blacklisting, no period of blacklisting was specified.
The court said that one cannot be blacklisted for life and the order of blacklisting to the extent that it has not specified the period cannot be sustained.
The Court deemed it appropriate to exercise the powers under Article 142 of the Constitution to pass an order of blacklisting the appellant for a period of five years from the date the order was passed.
The court clarified that it shall not debar the appellant from seeking fresh enlistment in accordance with law, so as to act as contractor in respect of works to be advertised by the State.
Case title: M/S Chauhan Builders Raibareli v/s The State of Uttar Pradesh & Ors.
Citation: Petition for Special Leave to Appeal (C) No.32840/2018