Development Corpn., Orissa Ltd Vs. M/S. Visa Steel Ltd. & Ors.  INSC
78 (1 February 2010)
SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION IA 4 OF 2009 IN CIVIL
APPEAL NO. 671 OF 2006 Industrial Development Corpn. Orissa Ltd. .... Applicant
(s) Versus M/s Visa Steel Ltd. & Ors. .... Respondent(s) WITH I.A.
NO.4 IN CIVIL APPEAL NO. 672 OF 2006 I.A. NO.4 IN CIVIL APPEAL NO. 673 OF 2006
CIVIL APPEAL NO. 655 OF 2006 ORDER P. Sathasivam, J.
Industrial Development Corporation of Orissa, Ltd. (in short
`IDCOL') filed the above application in Civil Appeal Nos. 671-673 of 2006,
disposed of on 04.02.2008, praying for extension of time by another two months
for complying with the directions contained in the Judgment.
In the said application, after quoting the operative portion of
the judgment dated 04.02.2008, the applicant has stated that pursuant to the
said directions, the Board of Directors of IDCOL constituted a Committee to
consider the bids of the respondents and the State Government approved the
constitution of the Committee on 21.05.2008. The Committee consists of:
Managing Director, IDCOL.
Director of Mines, Government of Orissa, Bhubneswar.
Regional Controller of Mines, Indian Bureau of Mines, Government of India,
Additional Secretary to Government, Finance Department, Bhubneswar.
Additional Secretary to Government, Law Department, Bhubneswar.
Representative of Institute of Minerals & Materials Technology, Bhubneswar.
Manager Mines, IDCOL.
Deputy General manager (Finance), IDCOL.
Company Secretary, IDCOL.
It is the case of the applicant that as per the directions of this
Court, the concerned bidders/respondents have already submitted their revised
financial bids within time.
dated 17.06.2008, this Court extended the time till 15.09.2008 for complying
with the directions of this Court. The applicant enumerated various steps that
were taken after the said order till the date of filing of the present
application. By pointing out those steps/deliberations, the applicant has
prayed for extension of time by another two months.
4) While hearing the above application, in view of objection
raised by the respondents, particularly, Jindal Strips Ltd., on direction by
this Court learned senior counsel appearing for the applicant placed
recommendations of the Committee constituted for evaluating the bids for
development of Tangarpada Chromite Deposit, in the meeting held on 05.09.2008
&08.09.2008. Apart from the above recommendations, the applicant has also
filed additional affidavit highlighting their stand for extension of time. In
the same manner Jindal has also filed reply affidavit disputing the claim of
We heard Mr. P.P. Rao, learned senior counsel for applicant, IDCOL
and Mr. T.N. Andurajuna, learned senior counsel for Jindal Strips Ltd.
Before considering the present application for extension of time
on second occasion, it is useful to refer the directions issued by this Court
in the judgment dated 04.02.2008.
On the sole ground that the High Court had relied upon extraneous materials and
has arrived at unfounded conclusions, in normal course we would have set aside
the order and asked the High Court to re-consider the matter.
considering the passage of time and more particularly the fact that the
advertisement was issued in 2002 and on the basis of materials on record, we
dispose of the appeals in the following terms:
shall be treated that the technical bids of all the three parties are valid.
financial bids were submitted about five years back it would be appropriate to
permit the parties to submit revised financial bids within three weeks.
appropriate and authorized Committee of IDCOL shall consider the technical bids
and the financial bids, keeping in view the parameters of the advertisement,
the NIT and the best interest of the State.
12. It is
needless to say the Committee examining the bids shall take note of all
relevant factors. In case it is considered appropriate and in the interest of
the State, it shall be open to the State Government to negotiate with the
parties so that the best interest of the State including generation of the
revenue of the State and overall development of the State in the relevant
fields could be achieved.
the matter is pending since long it would be desirable for the State Government
to ensure that the technical bids and the revised financial bids to be
submitted within three weeks as directed earlier, be evaluated and informed
decision taken by end of June, 2008. The observations and conclusions about
malafides of the officials and their alleged favoritism stand quashed.
appeals are allowed to the aforesaid extent without any order as to
It is appropriate to point out that only IDCOL has filed an
application for extension of time for compliance of the order of this Court
dated 04.02.2008. Mr. T.N.
learned senior counsel for Jindal by pointing out the directions in paras 11,
12 and 13 submitted that the present decision of the State Government rejecting
the bids of the respondents and authorizing IDCOL to exploit mining with Orissa
Mining Corporation (OMC) is not in accordance with the directions of this
Court. But Mr. P.P.
learned senior counsel submitted that the decision is well within the
directions of this Court and it was taken in the overall interest of the State
as observed in the judgment of this Court. At present, we are concerned with
the only issue i.e., whether there is any justifiable ground for extension of
time as claimed by IDCOL. On going through the report of the Committee,
ultimate decision of the State Government and the details furnished for
arriving at such decision, we are inclined to extend the time for carrying out
the directions in the order dated 04.02.2008. Inasmuch as, except the
application for extension, no other petition or issue pending before us, we are
of the view that there is no need to consider the objections raised by the respondents,
On going through the materials placed by the applicant, we intend
to extend further time and we make it clear that we have not expressed anything
either on the conduct of the IDCOL or State Government or the merits of the
objection of the Jindal in this application.
Without expressing any opinion on the above mentioned issues, we
extend the time by 15.03.2010 for compliance. The applications are disposed of
FEBRUARY 1, 2010.