
Court notes ‘checkered history’ of the protracted contract row
Morung Express News
Dimapur | July 22
The bidding row over the Tening-Lekie Road project in Peren witnessed another court ruling. The latest ruling was delivered on July 21 by a Division bench of the Gauhati High Court, Kohima Bench on a Writ Appeal filed by a Joint Venture (JV), namely— Hi-Tech Construction & Co, Vertex Construction and ANK Construction challenging a decision passed on March 16, this year, by a Single Judge Bench of the Kohima Bench.
The dispute, now in its third year, resulted in the delaying of the project worth Rs 136.96cr, while it attracted a Public Interest Litigation and the sponsoring agency contemplated recalling the advance released for starting the project. It had the JV up against the Nagaland state government, together with, a private construction firm (Naagaami Infratech). The JV moved court in October 2019 claiming flouting of bidding guidelines by the tendering authority that allegedly resulted in the JV losing the work contract, despite making the lowest bid, to Naagaami Infratech.
As reported earlier by The Morung Express, the project saw the issuing of two tender notices by the Nagaland PWD setting the trail for a protracted court battle, while the condition of the road in Peren’s Nsong area turned from bad to worse.
The first major ruling came in December 15, 2021 which went in favour of the JV. The ruling delivered by a Single Judge Bench directed the state government to award the work to the JV, which made the lowest bid in the first tender notice. This was challenged at the Division Bench by Naagaami Infratech and the state government.
On February 8, 2022, the Division Bench overturned the lower court’s December 15 ruling, while it upheld the cancellation of the first NIT. The case was further re-forwarded to the Single judge, Kohima Bench with a directive to expedite the arbitration.
The lower court subsequently issued a ruling on March 16, upholding the decision of the Division Bench to issue the work to Naagaami Infratech, while the claims of the JV was dismissed as “devoid of any merits.”
The JV followed up with a Writ Appeal at the Division Bench challenging the lower court’s decision. On July 21, the Division Bench delivered its ruling upholding the lower court decision, while noting, “The case has a checkered history.”
The ruling read, “Upon due consideration of the matter in its entirety, we do not find any good ground to interfere with the judgment and order of the learned Single Judge. Accordingly, the Writ Appeal is dismissed. Interim order(s) passed earlier, if any, shall stand merged with this order.”