The Meghalaya High Court has upheld a five-year blacklisting of a highway construction contractor, stating that public interest must come before private business interests. The court dismissed the contractor’s plea and supported the state government’s decision to bar the company from participating in public projects.
The case involved a major road development project awarded over a decade ago. The contractor had undertaken work on a national highway stretch, but disputes later arose over execution, delays, and financial claims. During arbitration proceedings related to the project, the state government examined the contractor’s financial records.
According to the state, the records revealed questionable expenses, including payments for luxury items, hospitality, and other benefits allegedly extended to officials connected with the project. Authorities treated these entries as evidence of improper conduct and violations of contractual obligations.
Based on these findings, the Public Works Department issued a notice to the contractor and later imposed a five-year ban. The contractor challenged the decision, arguing that the action was excessive and taken after a long delay. The company also claimed that the blacklisting unfairly affected its right to conduct business.
The High Court rejected these arguments. The judge observed that the government followed due process and gave the contractor sufficient opportunity to respond. The court said the seriousness of the allegations justified strict action. It also noted that the state has the right to choose contractors who meet ethical and legal standards.
The court added that blacklisting serves as a deterrent and protects public funds. It ruled that judicial interference was not required in this case, as the decision aligned with public welfare and administrative fairness.
With this ruling, the ban will remain in force. The judgement reinforces the message that contractors handling public infrastructure must maintain transparency and integrity.
