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Patna High Court

M/S Aadhya AgencyversusThe State of Bihar

Decided
Disposal
DISMISSED

Holding

The debarment order was valid as it was issued in accordance with the contract terms after due notice and opportunity to be heard.

Summary

M/S Aadhya Agency, a sole proprietorship, was awarded the L‑1 position for constructing an animal hospital in Kopa, Saran, under a tender floated by the Bihar State Building Construction Corporation. After a two‑month delay in receiving the land, the agency failed to complete the work within the six‑month contract period and did not submit a revised work programme despite two reminder letters. Consequently, Respondent No.4 issued Letter No. 902 dated 08‑12‑2025 debaring the petitioner from future tenders until the work was completed. The petitioner filed a writ petition seeking quashing of the debarment order, a mandamus for a three‑month extension, and permission to enter into another work agreement. The Court examined whether the debarment was arbitrary or violative of natural justice. It held that the debarment was effected in accordance with the contractual terms, after due notice and an opportunity to respond, and therefore was not illegal or arbitrary. Accordingly, the writ petition was dismissed.

Issues considered

  • Whether the debarment order issued by the Respondent was arbitrary or violative of principles of natural justice
  • Whether the petitioner was denied a fair opportunity to remedy the delay before being debarred
  • Whether the High Court can grant mandamus to extend the time for completion of the contract

Subjects

  • debarment
  • tender
  • mandamus
  • contractual obligations
  • administrative law
  • public procurement
  • natural justice

Judgment

                      IN THE HIGH COURT OF JUDICATURE AT PATNA
                                Civil Writ Jurisdiction Case No.315 of 2026
                 ======================================================
                 M/S Aadhya Agency (A Sole Proprietorship Firm), having its Office at Ram
                 Charitra Nagar Putahi, District- Muzaffarpur through its authorized signatory
                 Priyanka Kumari, aged about years, W/o. Vikash Kumar

                                                                        ... ... Petitioner
                                                  Versus
           1.    The State of Bihar through Principal Secretary, Building Construction
                 Department, New Secretariat, Delhi.
           2.    Managing Director, Bihar State Building Construction Corporation Ltd.
                 Having head office at Shastri Nagar, P.S- Shastri Nagar, District- Patna.
           3.    Chief General Manager, Bihar State Building Construction Corporation Ltd.
                 Having head office at Shastri Nagar, P.S- Shastri Nagar, District- Patna.
           4.    Deputy General Manager, Bihar State Building Construction Corporation
                 Ltd, (Project Implementation Unit), having its office at -Kashi Bazar,
                 Chapra, Saran.
           5.    Deputy General Manager, Bihar State Building Construction Corporation
                 Ltd, (Project Implementation Unit), having its office at House of Nand
                 Kishore Singh, Yadavnagar, Bhagwanpur Chowk, P.S-Bhagwanpur, District-
                 Muzaffarpur.

                                                           ... ... Respondents
                 ======================================================
                 Appearance :
                 For the Petitioner    :        Mr. Anuraj Saurav, Advocate
                 For the State         :        Mr. Arun Kumar Prasad, AC to SC-5
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE SUDHIR SINGH
                                            and
                         HONOURABLE MR. JUSTICE RAJESH KUMAR VERMA
                                       ORAL ORDER

                          (Per: HONOURABLE MR. JUSTICE SUDHIR SINGH)

2   02-02-2026                  In the present writ petition, the petitioner has prayed

                   for the following relief(s):-

                                           “(i) For Quashing of the Letter bearing Letter
                                           No.902 dated:08.12.2025 issued by Respondent
                                           No.4 i.e. Deputy General Manager, Bihar State
                                           Building Construction Corporation Ltd, Saran,
                                           Whereby and Where under Respondent No.4
                                           without providing adequate opportunity of
Patna High Court CWJC No.315 of 2026(2) dt.02-02-2026
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                                  hearing to the petitioner, debarred the petitioner
                                  from participating in future tender till the
                                  completion of the work, whereas the delay
                                  incurred in completion due to non-availability
                                  of land on which construction has to be done.
                                  (ii) For issuance of writ in the nature of
                                  mandamus directing the respondent to provide
                                  further period of three months for completion of
                                  the construction work, whereas when the work
                                  was initiated by the petitioner the land on which
                                  construction has to be done was provided after
                                  a period of two months and due to which the
                                  entire project get delayed.
                                  (iii) For issuance of writ in the nature of
                                  mandamus directing the authority to enter into
                                  work agreement of other tender in which
                                  petitioner was declared L-1 before the passing
                                  of debarment order an allow the petitioner to
                                  commence the work.
                                  (iv) For granting stay on the debarment order
                                  issued by respondent no.4 vide letter bearing
                                  Letter No. 902 dated 08.12.2025 and allow the
                                  petitioner to participate in future tender till the
                                  disposal of the writ petition.
                                  (v) For issuance of any other relief or reliefs.”



                      2. A counter affidavit has been filed on behalf of

          Respondent Nos.2 to 5, wherein the following statement has

          been made in paragraph-5:-

                                  “5. That it is humbly stated that petitioner is not
Patna High Court CWJC No.315 of 2026(2) dt.02-02-2026
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                                  entitled to any of the reliefs prayed for in
                                  paragraph no. 1(i) to (v) to the writ application
                                  under reply. It is stated that in view of
                                  requirement of Animal and Fisheries Resources
                                  Department,       the   government   decided   to
                                  construct animal hospital at Kopa, district
                                  Saran. It is stated that Corporation floated
                                  tender for the same and petitioner came L/1.
                                  The Circle Officer, Jalalpur, identified the
                                  required land, being Khata no. 1690, Khesra no.
                                  5160 area 1.81 acre, demarcated it and made
                                  available the same for the aforesaid purpose.
                                  Accordingly, work order issued to petitioner
                                  vide letter no. 340 dated 17.04.2025. The work
                                  was to be completed positively within a period
                                  of six months i.e. 17.04.25 to 16.10.25. The
                                  petitioner failed to execute the work and it is
                                  still incomplete. It is humbly stated that
                                  respondent no.4 reminded the petitioner twice
                                  vide letter dated 09.10.25 and letter dated
                                  12.11.25 that work is not going on as per
                                  schedule and very likely work may not complete
                                  on time but petitioner failed to make necessary
                                  effort for completion of the work and then show
                                  cause notice was issued vide letter no. 882
                                  dated 02.12.25 asking her to show cause within
                                  03 days and submit revised work programme,
                                  failing which action of debarment may be taken,
                                  apart from imposition of liquidated damages as
                                  per agreement. The petitioner failed to submit
                                  revised work programme in prescribed form and
                                  simply made a telephonic request on WhatsApp
            Patna High Court CWJC No.315 of 2026(2) dt.02-02-2026
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                                              for extension of time till 31.01.26. It is
                                              respectfully stated that in that view of the matter
                                              petitioner has been debarred from participating
                                              future tenders till completion of the work.”



                                  3. In view of the aforesaid submissions made in the

                      counter affidavit, it is evident that the impugned action has been

                      taken in accordance with the terms of the agreement and after

                      affording due opportunity. No arbitrariness or illegality is made

                      out, we, therefore, find no merit in the present writ application.

                                  4. Accordingly, the present writ application stands

                      dismissed.

                                  5. Pending application(s), if any, shall stand disposed

                      of.


                                                              (Sudhir Singh, J.)


                                                        (Rajesh Kumar Verma, J.)

Gaurav Kumar,
Ibrar/-

U


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