IN THE HIGH COURT OF JUDICATURE OF ANDHRA PRADESH AT HYDERABAD THE HON'BLE SRI JUSTICE GODA RAGHURAM AND THE HON'BLE SRI JUSTICE SAMUDRALA GOVINDARAJULU WRIT APPEAL NOs.641 & 642 OF 2010 WRIT APPEAL NO.641 OF 2010 Between: The Indian Cements Limited, rep. by its Deputy General Manager (Legal), Hyderabad and another ….Appellants. And: The Andhra Pradesh Power General Corporation Limited, rep. by its Chairman and Managing Director and 2 others. …..Respondents. WRIT APPEAL NO.642 OF 2010 Between: M/s.Zuari Cements Limited, rep. by its General Manager- Admin., Hyderabad. ….Appellant. And: The Andhra Pradesh Power General Corporation Limited, rep. by its Chairman and Managing Director and another. …..Respondents. IN THE HIGH COURT OF JUDICATURE OF ANDHRA PRADESH AT HYDERABAD THE HON'BLE SRI JUSTICE GODA RAGHURAM AND THE HON'BLE SRI JUSTICE SAMUDRALA GOVINDARAJULU WRIT APPEAL NOs.641 & 642 OF 2010 COMMON JUDGMENT: 1. Heard Sri Challa Kodandaram, the learned Senior Counsel representing Sri Challa Gunaranjan for the appellants and Sri K. Chidambaram, the learned Standing Counsel for the A.P. Genco Corporation Limited (the Corportion). 2. The appeals are directed against the orders dated 25.08.2010 allowing the applications seeking vacation of the interim stay granted in the writ petitions. The appellants filed the writ petitions challenging procurement notifications issued by the Corporation for sale of Fly Ash produced in the operation of the Rayalaseema Thermal Project Stage-I. The appellants who are Cement Companies had entered into a Memorandum of Understanding with the Corporation for purchase of Fly Ash. The term of the Memorandum of Understanding had expired. However, the appellants continued to purchase and the RTPS continued to supply the appellants Fly Ash. However, the Corporation has now issued the impugned (in the writ petition) procurement notification calling for tenders for purchase of Fly Ash from the Thermal Power Project. 3. In substantially similar circumstances, a learned Division Bench of this Court by the Judgment dated 02.08.2010 in Writ Appeal Nos.553 and 554 of 2010 reversed an interim order passed in the substantive writ petitions therein (also filed by a Cement Company seeking continuance of a right to purchase Fly Ash from the Vijayawada Thermal Power Project and without the V.T.P.S selling Fly Ash without a Public and Transparent Process). The Learned Division Bench held that the M.O.U between the petitioners/appellants therein and the V.T.P.S had been terminated and the mere fact that the V.T.P.S had been permitting the writ petitioners therein to take the Fly Ash, does not confer any right on the petitioners when their M.O.U with the V.T.P.S stood terminated. The Learned Division Bench further observed, following the judgment of the Supreme Court in Raunaq International Limited v I.V.R Construction Limited[1] that where the Court who satisfied with the substantial public interest involved, the court should be loath to interdict the process of public authorities pursuing public interest, by granting interdictory orders. 4. In the cases on hand, admittedly there is no subsisting agreement between the appellants and the Corporation where under they are entitled to an exclusive right to procure Fly Ash from the R.T.P.P., Stage-I. In the absence of any such subsisting agreement, established principles of administrative law ordain that Corporation, a public authority should follow a public and transparent procedure which will enable participation by the desirous public, in the contracts of a public authority. 5. On the above analysis, this court discerns no infirmity in the orders under appeal and we are in complete agreement with the reasons recorded by the Learned Single Judge in vacating the interim orders granted in the respective writ petitions and in ordering the vacate stay applications filed by the Corporation. Accordingly the writ appeals are dismissed at the stage of admission. ______________________________ JUSTICE GODA RAGHURAM. __________________________________________ JUSTICE SAMUDRALA GOVINDARAJULU. Date:07.09.2010 Gk. IN THE HIGH COURT OF JUDICATURE OF ANDHRA PRADESH AT HYDERABAD THE HON'BLE SRI JUSTICE GODA RAGHURAM AND THE HON'BLE SRI JUSTICE SAMUDRALA GOVINDARAJULU WRIT APPEAL NOs.641 & 642 OF 2010 Date:07.09.2010 Gk. [1] (1999) 1 SCC 492