Disposed

Adani Ports and Special Economic Zone Limited v. Visakhapatnam Port Trust

Andhra Pradesh HC6 Nov 2024WP/2340/2023

Case brief

AI extract

What is this about?

The High Court disposed of two Writ Petitions challenging the disqualification of Adani Ports from specific tender rounds. The Court, relying on a Supreme Court Supreme Court Order, directed the petitioners to submit detailed representations within two weeks. Respondents were then directed to reconsider the disqualification within four weeks.

What did the court decide?

Petitioners to submit detailed representations within two weeks; Respondents to reconsider disqualification within four weeks thereafter.

Adani Ports and Special Economic Zone… — Public Procurement and Tenders | Andhra Pradesh HC (2024)

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IN THE HIGH COURT OF ANDHRA PRADESH :: AMARAVATI (Special Original Jurisdiction) i THURSDAY, THE SEVENTH DAY OF NOVEMBER ^

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TWO THOUSAND AND TWENTY FOUR

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PRESENT

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THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA WRIT PETITION Nos. 2340 AND 2337 OF 2023

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WRIT PETITION No. 2340 OF 2023

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Between:

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Adani Ports and Special Economic Zone Limited, Having its registered office at Adani Corporate House, Shantigram, Near Vaishno^DeviCircle, S.G. Highway, Khodiyar, Ahmedabad - 382 421. Represented by its Authorized Signatory Mr. M. Manoj Verma

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...PETITIONER

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AND

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Visakhapatnam Port Trust, Represented by its Chairman,^PortArea, Visakhapatnam- 530035, Andhra Pradesh.

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Chief Mechanical Engineer, Visakhapatnam Port Trust,^PortArea, Visakhapatnam - 530 035

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Union of India, Rep by the Principal Secretary, Ministry^ofPorts, Shipping and Water Ways, New Delhi

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Vizag Multipurpose Terminal Private Limited, A Joint^{VentureCompany} of Indian Potash Limited and JM Baxi Ports and Logistics^Limited, Incorporated under Companies Act 2013, Having its registered^officeat Godrej Coliseum, Office N.801, C-Wing, Everard Nagar, Off Somaiya Hospital Road, Sion East Mumbai - 400 022, Rep. by^{itsAuthorised} Representative.

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(R4 is impleaded as per Court order dated.19.04.2023^inlANo.3 and 4 of 2023)

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...RESPONDENTS

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Petition under Article 226 of the Constitution of India praying^that in the circumstances stated in the affidavit filed therewith,^{theHighCourtmay} particularly writ of be pleased to issue any order, direction, writ more mandamus and A.) Declare that the actions of the Respondents in Tender No. IM and EE/M0F/EQ-7-Mech/2021 disqualifying the Petitioner in dated 11.10.2021 by issuing the Impugned Proceedings^{dated23.01.2023as} to RFQ, contrary to the Order dated 05.09.2022 illegal, arbitrary, contrary passed by the Hon'ble Supreme Court ini C.A.No.5878 of 2022, unconstitutional and consequently set aside the Impugned^Proceedings dated 23.01.2022 thereby permit the Petitioner to participate in the Tender No. IM & EE/M0F/EQ-7-Mech/2021 dated 11.10.2021 B) Declare that^clause 2.2.8 in Tender No. IM and EE/M0F/EQ-7-Mech/2021 dated^11.10.2021as and unconstitutional and consequently set aside the^same illegal, arbitrary this Hon'ble Court may deem fit and C)Pass such other order or orders as proper in the circumstances of the case

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lA NO: 1 OF 2023

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Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition,^{theHighCourtmaybe} Tender No. 1M&EE/M0F/EQ-7pleased to stay all further proceedings in Mech/2021 dated 11.10.2021 including finalization of the bidder and pending disposal of the above writ petition lA NO: 2 OF 2023

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Petition under Section 151 CPC praying that in the^{circumstances} stated in the affidavit filed in support of the petition,^{theHighCourtmaybe} pleased to suspend the operation of letter dated 23.01.2023 bearing No. IM&EE/IVlOF/Mech-WQ-7&8/Eq-7/2022/32 thereby permit^{thepetitionerto} participate in Tender No. IM&EE/MOF/Mech-WQ-7&8/2021 dated 11.10.2021.

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lA NO: 5 OF 2023

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Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to permit the petitioner to file the additional affidavit along with documents.

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Counsel for the Petitioner: SRI P. BADRINATH Counsel for the Respondent Nos.1 & 2: SRI RAVITEJA PADIRI, SC for

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VPT

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Counsel for the Respondent No.3: DEPUTY SOLICITOR GENERAL OF INDIA

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Counsel for the Respondent No.4:--

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WRIT PETITION NO: 2337 OF 2023

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Between:

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Adani Ports and Special Economic Zone Limited, Having its registered office at. Adani Corporate House, Shantigram, Near Vaishno Devi Circle, S.G. Highway, Khodiyar, Ahmedabad - 382421. Represented by its Authorized Signatory - Mr. M. Manoj Verma

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...PETITIONER

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AND

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Visakhapatnam Port Trust, Represented by its Chairman, Port Area, Visakhapatnam- 530035, Andhra Pradesh.

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Chief Mechanical Engineer, Visakhapatnam Port Trust, Port Area, Visakhapatnam - 530 035

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Union of India, Rep., by its Principal Secretary, Ministry of Ports, Shipping and Waterways, New Delhi.

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Arcellor Mittal Nippon Steel Limited, Representing the consortium of AMNS and Bothra Shipping services Pvt Ltd, Having its office at 27km, Surat-Hazira Road, Hazira, Surat-394270.

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(R4 is impleaded as per the Court Order dt.01.05.2024 vide orders passed in I.A.No.03 of 2023.)

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...RESPONDENTS

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Petition under Article 226 of the Constitution of India^{prayingthatin} the circumstances stated in the affidavit filed therewith,^{theHighCourtmay} order, direction, writ more particularly writ of be pleased to issue any Mandamus and A). Declare that the actions of the Respondents in disqualifying the Petitioner in Tender No. IM&EE/MOF/Mech-WQ-7&8^/2021 dated 04.10.2021 by issuing the Impugned Proceedings^{dated23.01.2023as} illegal, arbitrary, contrary to RFQ, contrary to the^{Orderdated05.09.2022} passed by the Hon'ble Supreme Court in C.A.No. 5878 of 2022, unconstitutional and consequently set aside the Impugned. Proceedings dated 23.01.2022 thereby permit the Petitioner to participate in the IM& EE/MOF/Mech-WQ-7&8/2021 dated 04.10.2021. B.) Declare that clause 2.2.8 in Tender No. IM&EE/MOF/Mech-WQ-7&8/2021 dated^04.10.2021as illegal, arbitrary and unconstitutional and consequently^{setasidethesame.} lA NO: 1 OF 2023 Petition under Section 151 CPC praying that in the^{circumstances} stated in the affidavit filed in support of the petition,^{theHighCourtmaybe} pleased to stay all further proceedings in Tender No.^{IM&EE/MOF/Mech-} WQ-7 & 8/2021 dated 04.10.2021 including finalization of the bidder pending disposal of the above writ petition.

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lA NO: 2 OF 2023

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Petition under Section 151 CPC praying that in the^{circumstances} stated in the affidavit filed in support of the petition,^{theHighCourtmaybe} pleased to suspend the operation of letter dated 23.01.2023^bearingNo.lM & EE/M0F/Mech-WQ-7&8/Eq-7/2022/32 thereby permit the Petitioner to the Tender No. IM&EE/MOF/- Mech-WQ-7&8/2021 dated participate in 04.10.2021.

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Counsel for the Petitioner; SRI. P BADRINATH

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Counsel for the Respondent Nos.1 & 2:SRI RAVITEJA PADIRI,^SCFOR

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VPT

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Counsel for the Respondent No.3: DEPUTY SOLICITOR GENERAL^OF

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INDIA

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Counsel for the Respondent No.4: SRI KAMAL KIRAN KUMAR The Court made the following: COMMON ORDER

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APHC010038012023

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IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI

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[3329]

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(Special Original Jurisdiction)

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THURSDAY ,THE SEVENTH DAY OF NOVEMBER TWO THOUSAND AND TWENTY FOUR

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PRESENT

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THE HONOURABLE SRI JUSTICE VENKATESWARLU NIMMAGADDA

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WRIT PETITION NO: 2340/2023

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Between:

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Adani Ports And Special Economic Zone Limited ...PETITIONER

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AND

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Visakhapatnam Port Trust and Others ...RESPONDENT(S)

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Counsel for the Petitioner:

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1.P BADRINATH

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Counsel for the Respondent(S):

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RAVITEJA PADIRI

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WRIT PETITION NO: 2337/2023

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Between:

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Adani Ports And Special Economic Zone Limited...PETITIONER

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AND

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Visakhapatnam Port Trust and Others ...RESPONDENT(S) Counsel for the Petitioner:

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1.P BADRINATH

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Counsel for the Respondent(S):

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RAVITEJA PADIRI

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2.KHAMAR KIRAN KANTAMNENI The Court made the following:

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THE HON’BLE SRI JUSTICE VENKATESWARLU NIMMAGADDA

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WRIT PETITION Nos: 2340 & 2337 of 2023

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COMMON ORDER:

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Writ Petition No.2340 of 2023 is filed under Article^226ofthe

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Constitution of the India seeking the following reliefs:-

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“fo issue a writ, order or direction more particularly^one in the nature of Writ of Mandamus declaring the actions^of the respondents in disqualifying the petitioner in Tender No.iM8.EE/MOF/EQ-7-Mech/2021, dated 11.10.2021 by issuing the impugned proceedings dated 23.01.2023 as illegal, arbitrary, contrary to RFQ, contrary to the Order dated 05.09.2022 passed by the Hon’ble Supreme Courtⁱⁿ C.A.No.5878 of 2022, unconstitutional and consequently^set aside the impugned proceedings dated 23.01.2022 thereby permit the petitioner to participate in the Tender No.lM&EE/MOF/EQ-7-Mech/2021, dated 11.10.2021 and declare that clause 2.2.8 in Tender NO.IM&EE/MOF/EQ-7Mech/2021, dated 11.10.2021 as illegal, arbitrary and unconstitutional and consequently set aside the same^and pass such other order. 2. Writ Petition No.2337 of 2023 is filed under Article^226of

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the Constitution of the India seeking the following^reliefs;-

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“to issue a writ, order or direction more particularly^one in the nature of Writ of Mandamus declaring the actions^of the respondents in disqualifying the petitioner in Tender No.lM&EE/MOF/Mech-WQ-7&8/2021, dated 04.10.2021 by issuing the impugned proceedings dated 23.01.2023 as illegal, arbitrary, contrary to RFQ, contrary to the Order dated 05.09.2022 passed by the Hon’ble Supreme Courtⁱⁿ C.A.No.5878 of 2022, unconstitutional and consequently^set aside the impugned proceedings dated 23.01.2022 thereby permit the petitioner to participate in the Tender No.lM&EE/MOF/Mech-WQ-7&8/2021, dated 04.10.2021 and declare that clause 2.2.8 in Tender No.lM&EE/MOF/Mech-WQ-78c8/2021, dated 04.10.2021 as illegal, arbitrary and unconstitutional and consequently^set aside the same and pass such other order.

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As the issue involved in both the Writ Petitions are one and the same, this Court inclined to pass a common order.

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Heard the learned counsel for the petitioners, learned Standing Counsel for respondent Nos.1 and 2 and Sri^KamalKiran Kumar, learned counsel appearing for respondent No.4.

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Learned counsel for the petitioners submits that the concession agreements were terminated on the ground of non performance of the subject agreements, which were pending for consideration before the arbitrary proceedings. The^said basis for termination of contract of the sister concern may not^come in the way, as such the impugned proceedings are liable to be quashed.

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Learned counsel for the petitioners relied upon^theorder dated 05.09.2022 passed by the Hon’ble Apex Court in^CivilAppeal No.5878 of 2022, wherein it is held as follows;

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“(i) That the appellant/petitioner shall have no claimsⁱⁿ respect of the two tenders namely Tender No.JNP/TRAFFIC/MCB/PPP/2021-01 and Tender No.JNP/TRAFFIC/MCB/PPP/2021/01 and Tender NO.JNP/T/BT/SWB-CB/2021-22/T-03 as undertaken on behalf of the appellant/petitioner; ii) That in the peculiar facts and circumstances of^the case and as agreed between the parties, termination^of the Concession Agreement dated 01.08.2011 by Visakhapatnam Port Authority shall not be treated as disqualification or ineligibility of the appellant/petitioner for the purpose of participating in any other tender issued by any public authorities in future. ”

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Learned counsel for the petitioners further submits^that in

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of view of the order of the Hon’ble Apex Court, the orders

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disqualification passed by the respondent Nos.1 and^2areliableto be quashed and set aside. He further expresses that they does not have any grievance against the contract awarded in favour^of the^{4^'^} respondent and also agreed to proceed further in accordance with the terms of the-agreement.

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Learned counsel for the respondents submits that pending the Writ Petition, the tender was already finalized^{andwasawarded} in favour of respondent No.4, since, the claim of the petitioner is that the impugned disqualification order should be revisited and the same can be considered in the light of orders passed by the Hon’ble Apex Court dated 05.09.2022.

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Having regard to the submissions made by both the learned counsel, this Court is of the considered view the present Writ Petitions can be disposed of directing the petitioners^tosubmit a detailed representations with reference to the order of the Hon’ble Apex Court dated 05.09.2022, within a period of two(2)^weeks.After such submission of said representations, the respondent^Nos.1and 2 are specifically directed to consider the claim of the petitioners/the said disqualification vide letter dated 23.01.2023, with reference^to the orders of the Hon’ble Apex Court, within a period of four(4) weeks thereafter. The execution of the tender can be proceed by the 4*'^ respondent in terms of the agreement.

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•/

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With the above directions, the Writ Petitions are disposed of. There shall be no order as to costs.

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As a sequel miscellaneous application, pending, if^any,shall

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also stand closed.

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SD/- P.U.V.BHASKARA RAO assistant registrar

//true copy//

SEC N OFFICER

To,

Trust, Port Area, Visakhapatnam-

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Visakhapatnam Port

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1. The Chairman 530035, Andhra Pradesh. Port Trust, Port Area

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Visakhapatnam

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1. The Chief Mechanical Engineer Visakhapatnam - 530 035 of Ports Shipping and Water Ways,

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3 The Principal Secretary, Ministry Union of India, New Delhi Terminal Private

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1. TheLimited,AuthorisedA Joint ventureRepresentative. Conrpanvot Vizag IndianMultipurposepotash Linrited and dM incorporated under Companies Act

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Baxi Ports and Logistics Limited , Office N.801, C-

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registered office at Godrej Coliseum

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2013, Having its Hospital Road, Sion East Mumbai -

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Everard Nagar, Off Somaiya

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Wing 400 022.

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400 022. of AMNS and Bothra Shipping services Pvt Ltd,

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1. The Consortium Steel Limited, Having its office at 27km, Surat-

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Arcellor Mittal Nippon Surat-394270

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Hazira Road, Hazira

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Badrinath, Advocate [OPUC]

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1. One CC to Sri P

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Padiri, Advocate [OPUC]

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1. One CC to Sri Raviteja Advocate[OPUC]

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1. One CC to Sri Kamal Kiran Kumar of India, High Court of A.P. at 9. One CC to Deputy Solicitor General Amaravati[OUTl

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Three CD Copies.

ssb

HIGH COURT

DATED:07/11/2024

COMMON ORDER

WP.Nos.2340, 2337 of 2023

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OF AN^
m
g 0 4 DEC 202'!
<o.
S- . Current Section .

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DISPOSING OF THE WRIT PETITIONS WITHOT COSTS

Adani Ports and Special Economic Zone Limited v. Visakhapatnam Port Trust

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Adani Ports and Special Economic Zone Limited v. Visakhapatnam Port Trust

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