M/S Sushila Chemicals P.Ltd.& Anr vs Bharat Coking Coal Ltd.& Ors

The Supreme Court addressed the legality of the suspension of coal supply to the appellants by Bharat Coking Coal Limited (BCCL) under the Fuel Supply Agreement (FSA) following allegations of criminal conspiracy and breach of contract. The Court held that the suspension was justified under Clause 4.4 of the FSA, which prohibits the resale or diversion of coal, and that the FIR registered by the CBI provided sufficient grounds for BCCL to act. The Court dismissed the appeals, affirming the High Court's decision to uphold the suspension of coal supply.