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Supreme Court of India 2026-04-02 partly_allowed

M/s. A.K.G. Construction and Developers Pvt. Ltd vs State of Jharkhand & Ors

Bench: 2 — Pamidighantam Sri Narasimha, Alok Aradhe

In Brief

A contractor's work on a water reservoir collapsed in June 2024. The State terminated his contract and blacklisted him for five years in a single order. The Supreme Court upheld the termination, finding negligence proven by technical inquiries. However, it quashed the blacklisting, ruling that blacklisting is a separate administrative penalty requiring a distinct, specific show-cause notice. The Court held that the vague notice mentioning "action as per rules" failed to clearly indicate intent to blacklist, violating natural justice principles. Since substantial time had elapsed, the Court ended the blacklisting with immediate effect rather than requiring a fresh notice.

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Administrative Law Contract Law Natural Justice Due Process Blacklisting Contractor Debarment Judicial Review Constitutional Law

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