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Kailash Thakur v. State Of U.P. Thru' Principal Secy. & Others - WRIT - C No. 60139 of 2005  RD-AH 2831 (14 September 2005)
Civil Misc. W.P. No. 60139 of 2005
Hon'ble Sushil Harkauli J.
Hon'ble Vikram Nath, J.
The petitioner was granted a contract for Tehbazari on 19.4.2005, which was valid for a year. By a non-speaking order dated 16.5.2005, annexure-3 to this writ petition, the said contract has been rescinded by the Nagar Palika Parishad, Mathura. Although no reasons are mentioned in the impugned order but according to the learned counsel for the petitioner it is based upon a Government Order dated 11.2.2005.
According to the said Government Order, the contract should not have been granted. But once it has been granted, it can not be cancelled to the detriment of the petitioner.
Situation may have been different if the granting of the contract were prohibited by the statute or statutory Rules. But if the contract has been entered into contrary to a policy, prima facie, the respondents will be estopped from relying upon the policy for the purpose of rescinding the contract. It may be open to the Government to take action against the officers who have granted the contract in violation of the policy but the contract can not be cancelled. Therefore, we stay the operation of the order dated 16.5.2005 till further orders.
Issue notice to the opposite party No. 2. Standing counsel may file a counter affidavit within a month.
It is clarified that this order will not stop the respondent No. 2 from cancelling the contract, if the petitioner does not fulfill any of the conditions of the contract.
Dated : September 14, 2005
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