DEFSYS SOLUTIONS PVT. LTD. & ANR. vs UNION OF INDIA

Judgment text excerpt

* IN THE HIGH COURT OF DELHI AT NEW DELHI Reserved on:07.08.2025 Pronounced on:28.08.2025 + W.P.(C) 9906/2024, CM APPL. 40658/2024, CM APPL.74012/2024, CM APPL. 609/2025, CM APPL. 37227/2025 DEFSYS SOLUTIONS PRIVATE LIMITED .....Petitioners Through: Mr.Neeraj Kishan Kaul, Sr.Adv. with Mr.Rishi Agarwal, Mr.Pawan Sharma, Mr.Nirvikar Singh, Ms.Devika Mohan, Mr.Parminder Singh, Mr.Tejasvi Chaudhry, Ms.Pritha Suri, Mr.Ankit Banati, Mr.Aditya Chatterjee, Advs. versus UNION OF INDIA .....Respondent Through: Mr.Ruchir Mishra, Mr.Mukesh Kr. Tiwari, Ms.Reba Jena Mishra and Ms.Poonam Shukia, Advs. CORAM: HON'BLE MR. JUSTICE NAVIN CHAWLA HON'BLE MS. JUSTICE MADHU JAIN JUDGMENT NAVIN CHAWLA, J. 1. This petition has been filed by the petitioners praying for the following reliefs: Signature Not Verified Digitally Signed By:REYMON VASHIST W.P.(C) 9906/2024 Signing Date:28.08.2025 Page 1 of 25 18:57:59 “(I) Pass a Writ of Certiorari or any other writ/order/direction of like nature setting aside the MoD ID No. 31013/1/2016-D dated 21.11.2016 being the “Guidelines of the Ministry of Defence for Penalties in Business Dealings with Entities” along with Paragraphs 8 and 9 of the “Procedure for Penal Action under the Guidelines of the Ministry of Defence for Penalties in Business Dealings with Entities” promulgated by the Respondent under Rule 142 of the General Financial Rules 2017 as being ultra-vires Article 14, 19(1)(g), 19(6), 21, 77 and 300A of the Constitution of India and the “Defence Procurement Manual, 2009; (II) Pass a Writ of Certiorari or any other writ/order/direction of like nature setting aside the Suspension Orders dated 05.07.2024, 01.01.2025 and Suspension Order dated 24.06.2025 and further prohibit the Respondent from passing any such similar Suspension Orders; and thereby