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Madhya Pradesh High Court
M/S Jaiswal Steel Processing Pvt. ... vs West Central Railways on 24 October, 2011

    M/s Jaiswal Steel Processing           West Central Railway, Jabalpur
    Pvt. Ltd.                              & others

           Shri R.S.Jaiswal, learned Senior Advocate with Shri Manoj
    Kushwaha, counsel for petitioner.
           Shri Govind Patel, counsel for respondents.

Learned counsel for respondents prays for two weeks time to file reply in the matter.

Prayer is allowed.

Learned counsel for petitioner submitted that there was no concluded contract between the parties. Though after submitting offer there were negotiations and the petitioner submitted his rates as per Annexure P-4, and the Railways issued advance acceptance letter Annexure P-5, but it was not accepted by Annexure P-6. As there was no concluded contract between the parties, the respondents cannot direct recovery of Rs.10,00,000/- which was security amount for the contract. As the petitioner had not entered into contract, there was no question of payment of security, but inspite of this the respondents have issued recovery of aforesaid amount from other contract of petitioner.

Considering aforesaid, till filing of reply by respondents, we direct that the respondents shall not give effect to the recovery as directed by Annexure P-9 dated 18.4.2011 issued by the respondents.

Be listed for hearing on 23.11.2011.

C.C., as per rules.

    (Krishn Kumar Lahoti)                         (Smt.Vimla Jain)
         JUDGE                                       JUDGE