Authority: Delhi High Court (Bench of Justice Shampa Sarkar and Justice Arjun Ray Mukherjee)
Order Date: 24 August 2026
Case Overview
- Appeal (MAT 1280 of 2026 with CAN 1 of 2026) filed by Union of India & Ors. against Vindhya Industries Private Limited & Anr., arising from judgment and order dated 10 July 2026 in WPA No.12217 of 2026.
- The dispute concerns disqualification of the writ petitioners (unsuccessful bidders) in a railway tender because they allegedly failed to submit the mandatory Certificate of Local Content in Form‑1 under clause 51 of Chapter‑III.
- The railway authority treated Form‑1 as an essential eligibility requirement; the lower court interpreted it as non‑essential and allowed cure of the defect.
- Respondents argue that a plain‑paper certificate was submitted, but not on a Rs 100 non‑judicial stamp paper, claiming a clerical mistake that could be cured.
- The appellants contend that no such plain‑paper document was ever filed and that the clause is mandatory; they cite the Delhi High Court decision in ABC Beverages Private Limited vs IRCTC Ltd. (2017 SCC OnLine Del 9426).
- The court identified factual disputes: (i) whether any Form‑1 was submitted in plain paper, (ii) the mandatory nature of the clause, and (iii) potential prejudice to other bidders rejected on the same ground.
- The court directed the railway authorities to furnish the names of other affected bidders within two weeks and to produce records confirming the absence or presence of the plain‑paper certificate.
- Parties were ordered to exchange affidavits and be heard afresh; a work order shall not be issued until the writ petition is finally decided.
Final Outcome
- The appeal and the connected application are disposed of.
- Parties are directed to act on the server copy of this order and to comply with the further hearing directions.
Topics: Legal Tender Dispute, Railway Procurement, Local Content Certification