GORKHA SECURITY SERVICES v. GOVT. OF NCT OF DELHI & Ors.

Judgment

[2014] 13 S.C.R. 617 GORKHA SECURITY SERVICES V. GOVT. OF NCT OF DELHI & ORS. (Civil Appeal Nos. 7167-7168 of 2014) AUGUST 04, 2014 A B [J. CHELAMESWAR AND A. K. SIKRI, JJ.] Administrative Law - Imposition of penalty - Blacklisting - Form and content of show cause notice C required to be served, before deciding as to whether the noticee is to be blacklisted or not - Held: It is incumbent to state in the show cause notice that the competent authority intends to impose a penalty of blacklisting, so as to provide adequate and meaningful opportunity to the noticee to show 0 cause against the same - However, even if it is not mentioned specifically but from the reading of the show cause notice, it can be clearly inferred that such an action was proposed, that would fulfill this requirement.

Administrative Law- Violation of contract- Imposition E of penalty - Blacklisting of appellant-contractor - Validity Held: Blacklisting of appellant without giving it notice thereto, was contrary to principles of natural justice as it was not specifically proposed and, therefore, there was no s,how cause notice given to this effect before taking action of F blacklisting against the appellant - blacklisting the appellant accordingly set aside. Impugned action of Partly allowing the appeals, the Court HELD:1. Blacklisting has to be preceded by a show G cause notice. The necessity of compliance wUh the principles of natural justice by giving the opportunity to the person against whom action of blacklisting is sought to be taken has a valid and solid rationale behind it.

617 H 618 SUPREME COURT REPORTS [2014] 13 S.C.R. A Unless a statutory provision either specifically or by necessary implication excludes the application of any rules of natural justice, in exercise of power pre-judicially affecting another must be in conformity with the rules of natural justice. [Paras 17, 29][627-G-H; 637-A-B] B c