Delhi High Court Dismisses Appeals Alleging Collusion in Bidding Process

Delhi, India – In a recent judgment, the Delhi High Court dismissed appeals filed by NTPC Ltd, a leading power company, alleging collusion in the bidding process. The court ruled that the allegations of collusion between Emami Power Ltd and Oriental Sales Agencies (India) were baseless and lacked evidence. The judgment, delivered by Hon’ble Mr. Justice Najmi Waziri and Hon’ble Mr. Justice Sudhir Kumar Jain, emphasized the need for concrete proof to establish collusion.

The court stated, "The Impugned order has rightly held, indeed it was conceded by the appellant, that Emami and OSAPL were not group companies; there was nothing on the record to establish that the two companies which are otherwise independent and separate entities, could be said to have colluded or otherwise conspired to cause any monetary loss or injury or impediment in the affairs of the appellant.”

Furthermore, the court rejected the appellant’s contention that Emami and OSAPL had caused harm to NTPC Ltd, as no loss was proven to have been suffered by the appellant. The appeals were dismissed, and the court ordered the release of the deposited monies to Emami Power Ltd and Oriental Sales Agencies (India) along with any accrued interest.

Highlighting the interpretation of the Request for Selection (RFS), the court noted, “The impugned order has rightly held that Emami and OSAPL are not group companies… The shareholding pattern and economic interests are irrelevant once non-affiliation is established.”

The judgment emphasized the importance of evidence and pleadings to support allegations, stating, “There are no pleadings to support the contentions… these contentions are wholly bereft of any merit.”

Decided on: 12.05.2023

NTPC LTD  VS  EMAMI POWER LTD & ANR             

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