Lawstreet Journal

'World Bank is not a 'Government agency' for the purposes of Article 12 of the Constitution': Delhi HC

Lawstreet Journal 7 Nov 2021 2:24am

Image courtesy: Lawstreet Journal Judiciary 'World Bank is not a 'Government agency' for the purposes of Article 12 of the Constitution': Delhi HC

Case Title: A2Z Infraservices Limited & Anr. V. North Delhi Municipal Corporation

In a recent decision, the Delhi High Court bench of Justice Vipin Sanghi and Justice Jasmeet Singh held that World Bank is not a government agency and that to be a government agency, a body must be under "pervasive and actual control" of the Government of India.

The respondent i.e. the North Delhi Municipal Corporation had rejected the petitioners bid on the ground that the petitioner stands debarred by World Bank. The petitioner is a private limited company. The Municipal Corporation had stated that the petitioner did not disclose the fact that it is debarred by the World Bank in the undertaking submitted by the petitioner. 

Senior Advocate Rajiv Nayar, speaking on behalf of the petitioners had contended that the debarment by either the World Bank Group or by the AIIB, and by the AFDB does not amount to either debarment by the Government, or the Government Agency. Further for the World Bank to be categorized as the “Government Agency”, it will have to be established that the World Bank acts as an agent of Government of India.

He submitted that an “...agent is bound by instructions of the principal. It certainly cannot be said that the World Bank acts on the instructions of the Government of India. “

Nayar further submitted that the World Bank is not a Government authority under Article 12 of the Constitution of India, and no writ would lie against the World Bank. He submits… Continue Reading...

Tagged: World Bank   Delhi High Court  
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