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Blacklisting orders may cause civil death of institution

Recently the appellant a pharmaceuticals company by name Vetindia Pharmaceuticals Limited was served with an order of blacklisting by the office of Director, Animal Husbandry Department of UP government referring to State Analyst report declaring the batch supplied by it to be of substandard quality thus violating the tender stipulations.
Though the order was challenged in 2019 before the Bombay High Court it was dismissed on the ground of delay. The court stated that respondent never expressed in their mind to show cause notice to blacklist if done, the appellant could have filed the response for the same. The court by adopting the precedent stated that the blacklisting beyond 3 years or maximum of 5 year was disproportionate. The issue of delaying in writ court the bench observed that writ petition was not barred by unexplained delay. Though the High Court has discretionary jurisdiction it may decline to exercise discretionary writ petition on the ground of delay.
Though it was only rule of discretion by exercise of self-restraint evolved by the court in exercise of discretionary equitable jurisdiction and not mandatory requirement that every delayed petition must be dismissed on the ground of delay. The Limitation act does not apply to writ jurisdiction. Thus, Supreme Court set aside an indefinite blacklisting order issued in 2009 against Vetindia Pharmaceuticals Limited. As the order of blacklisting operated to the prejudice of commercial person not only in praesenti but also puts a taint which attaches far beyond and may spell the death kneel.

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