The present appeal was filed by the Union of India, challenging a judgment dated July 26, 2024, passed by a Single Judge of the Delhi High Court. The Single Judge had allowed a writ petition filed by OCL Iron and Steel Limited, the respondent, which had challenged the appellant's decision to debar it from participating in coal mine auctions. The core of the dispute originated from a Coal Mine Development and Production Agreement executed between the respondent and the appellant on March 2, 2015, for the Ardhagram coal mine. This agreement included a clause, Clause 24.3.3, allowing for the forfeiture of a Performance Bank Guarantee (PBG) if the agreement was terminated by the respondent.

The present appeal was filed by the Union of India, challenging a judgment dated July 26, 2024, passed by a Single Judge of the Delhi High Court. The Single Judge had allowed a writ petition filed by OCL Iron and Steel Limited, the respondent, which had challenged the appellant's decision to debar it from participating in coal mine auctions. The core of the dispute originated from a Coal Mine Development and Production Agreement executed between the respondent and the appellant on March 2, 2015, for the Ardhagram coal mine. This agreement included a clause, Clause 24.3.3, allowing for the forfeiture of a Performance Bank Guarantee (PBG) if the agreement was terminated by the respondent.