Patna High Court
Rohit RanjanversusThe State of Bihar
- Decided
- Disposal
- ALLOWED
Holding
The cancellation order was inappropriate, arbitrary and not in public interest, and is set aside.
Summary
The petitioner, Rohit Ranjan, was awarded a work order for the MMGSY road construction package and was issued a Letter of Acceptance on 23‑12‑2025, which he received on 04‑01‑2026. He failed to furnish the required performance bank guarantee within the stipulated 15‑day period due to a typhoid illness, but subsequently submitted the guarantees on 18‑02‑2026 and 26‑02‑2026, which the respondents accepted. The Department cancelled the work order on 14‑02‑2026 on the ground of non‑submission of the guarantee and issued orders directing re‑tendering. The petitioner challenged the cancellation, seeking certiorari and mandamus to enforce the original award. The Court examined whether the cancellation was justified given the later submission and acceptance of the guarantee and found the order to be arbitrary, not in public interest, and therefore set it aside. Consequently, the writ petition was allowed and the cancellation orders were vacated.
Issues considered
- Whether the cancellation of the work order on the ground of delay in furnishing the performance bank guarantee is justified when the guarantee was later submitted and accepted.
- Whether the Department's order to cancel and re‑tender the work is arbitrary and contrary to public interest.
Subjects
- performance bank guarantee
- work order cancellation
- public interest
- arbitrariness
- certiorari
- mandamus
- tender re‑evaluation
- Rural Works Department
- Bihar
Judgment
IN THE HIGH COURT OF JUDICATURE AT PATNA
Civil Writ Jurisdiction Case No.4359 of 2026
======================================================
Rohit Ranjan son of Jainendra Kumar, Moriya Vihar Colony Transport Nagar,
B.H Colony, P.O and P.S-Agamkuan, District-Patna Bihar. (Bid I.D-142525).
... ... Petitioner/s
Versus
1. The State of Bihar through Additional Chief Secretary (ACS), Rural Works
Department, Government of Bihar, Patna.
2. The Additional Chief Secretary (ACS), Rural Works Department,
Government of Bihar, Patna.
3. The Secretary, Rural Works Department, Government of Bihar. Patna.
4. The Engineer-in-Chief, Rural Works Department, Government of Bihar.
Patna.
5. The Chief Engineer-1, Rural Works Department, Bihar, Patna.
6. The Superintending Engineer, Work Division Nalanda, Rural Works
Department, Government of Bihar, Patna.
7. The Executive Engineer, Work Division Hilsa, Rural Works Department,
Bihar, Patna.
8. The Nodal Officer, MMGSY, Rural Works Department, Bihar, Patna.
9. The Technical Bid Evaluation Committee, in relation to Package No.
MMGSY (Awesh - GEN) HILSA-342 (Tender ID-144895) in connection
with NIT No. RWD/MMGSY (AWSESH- GEN)/HQ/ET/2025-26/12 dt.
09.09.2025 represented through Engineer-in-Chief, Rural Works
Department, Government of Bihar, Patna.
... ... Respondent/s
======================================================
Appearance :
For the Petitioner/s : Mr. Ashish Giri, Sr. Adv.
Mr. Sumit Kumar Jha, Adv.
Mrs. Riya Giri, Adv.
For the State : Mr. Raghwanand, GA-11
Mr. Pratik Kumar, AC to GA-11
======================================================
CORAM: HONOURABLE MR. JUSTICE SUDHIR SINGH
and
HONOURABLE MR. JUSTICE SHAILENDRA SINGH
ORAL ORDER
(Per: HONOURABLE MR. JUSTICE SUDHIR SINGH)
3 31-03-2026 Heard learned counsel for the parties.
2. Following are the reliefs sought in the present writ
application :
Patna High Court CWJC No.4359 of 2026(3) dt.31-03-2026
2/4
"i) To issue a writ/order/ direction in
the nature of certiorari to set aside the office order
contained in Memo No.94 dt. 13.02.2026 issued
under the signature of superintending Engineer,
Rural Works Department, work division, Nalanda
by which the Superintending engineer
recommended for cancelling the work order issued
in the favour of the petitioner and for seizure of
performance guarantee submitted by the petitioner
in relation to package no. MMGSY (Awesh- GEN)
HILSA-342 (Tender ID- 144895).
ii) To issue a writ/order/direction in the
nature of certiorari to set aside the office order
contained in order No.19 dt. 14.02.2026 issued
under the signature of Chief Engineer-1, Rural
Works Department, Patna by which the Chief
engineer -1 cancelled the work order issued in the
favour of the petitioner vide memo no. 2285 dt.
18.12.2025 in light of recommendation of the
Superintending engineer dt. 13.02.2026. package
no. MMGSY (Awesh - GEN) HILSA-342 (Tender
ID-144895)
iii) To issue a writ/order/ direction in
the nature of certiorari to set aside the office order
contained in Memo No.387 dt. 16.02.2026 issued
under the signature of executive engineer, Rural
Works Department, work division, Hilsa by which
the Respondent executive engineer has
recommended the Nodal officer, MMGSY Rural
work department Patna to re-tender the package
bearing package no. MMGSY (Awesh GEN)
HILSA-342
iv) To issue a writ/order/ direction in
the nature of mandamus directing the respondent
authorities to allow the petitioner to enter into the
agreement in relation to MMGSY (Awesh GEN)
HILSA-342 (Tender ID-144895) which has been
awarded in favour of the petitioner through LOA
as contained in memo no.2702 dt. 23.12.2025.
v) To issue a writ/order/ direction in the
nature of mandamus directing the respondent
authorities to allow the petitioner to start the work
of construction of road which have been awarded
to the petitioner through LOA as contained in
memo no. 2702 dt. 23.12.2025.
Patna High Court CWJC No.4359 of 2026(3) dt.31-03-2026
3/4
vi) To pass interim /exparte interim
direction to restrain the respondents from
retendering the work/ package bearing package
no. MMGSY (Awesh - GEN) HILSA-342 (Tender
ID-144895) and / or staying the operation of
impugned order of cancellation of work order
dated 14.02.2026 during pendency of this writ
petition.
vii) To any other relief or reliefs for
which the petitioner is found to be entitled in the
facts and circumstances of the case."
3. A limited issue arises for consideration before this
Court, namely, whether the cancellation of the work order on
account of delay in furnishing the performance bank guarantee is
justified, particularly in the facts of the present case, where the
performance bank guarantee has subsequently been furnished and
still retained by the respondents.
4. It is not in dispute that the work order came to be
cancelled vide order dated 14.02.2026 (Annexure-P/9) on the
ground that the performance bank guarantee was not submitted
within the stipulated period.
5. Mr. Ashish Giri, learned senior counsel appearing on
behalf of the petitioner, submits that although the Letter of
Acceptance (LoA) was issued on 23.12.2025, but it came to be
received on 04.01.2026. The petitioner, on account of being
diagnosed with typhoid and being under medical advice for
complete bed rest, could not furnish the performance bank
guarantee within the stipulated period of 15 days. It is further
submitted that the petitioner has since furnished the bank
Patna High Court CWJC No.4359 of 2026(3) dt.31-03-2026
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guarantees on 18.02.2026 and 26.02.2026 (Annexure-P/7), which
have been accepted by the respondents. The petitioner also
undertakes to complete the work within the prescribed time
without seeking any extension.
6. Mr. Raghwanand, learned counsel for the State, upon
query of this Court, submits that no fresh tender has been floated
till date in respect of the work in question.
7. Considering the explanation offered for the delay by
the petitioner, and the acceptance of the performance bank
guarantee by the respondent-department, as also the information
made by the respondent that no fresh tender has been floated, and
the undertaking of the petitioner that the work would be
completed within stipulated time frame, this Court is of the view
that the impugned order dated 14.02.2026 (Annexure-P/9) seems
inappropriate, arbitrary and not to be in public interest, and is
accordingly set aside.
8. The writ application, accordingly, stands allowed.
9. Pending application(s), if any, shall also stand
disposed of.
(Sudhir Singh, J)
( Shailendra Singh, J)
annu/Rajesh
U
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