The integrity pact, signed in 2013, said that if a successful bidder violated the agreement, it would entail forfeiture of the bank guarantee. In its petition challenging the invocation of the bank guarantee, the company has said that the government in its invocation letter did not say that the RFP has already been withdrawn. It had said that the government instead was obligated to return the bank guarantee. The company has also alleged that by invoking the bank guarantee, the government was trying to “unjustly enrich itself”. It has sought directions restraining the Centre from invoking the bank guarantee.

Source: Indian Express November 05, 2017 04:54 UTC