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The Delhi High Court today issued notice to and sought reply of the Indian Railways Catering and Tourism Corporation Ltd (IRCTC) in a plea seeking relaxation in license fee as well as other benefits, to the East and West Zones of Railways, as granted to the newly allotted catering units of the North Zone and South Zone.

The division bench of Chief Justice DN Patel and Justice Amit Bansal however declined to pass any interim order and listed the matter for next hearing on Oct 22.

The petition filed by one M/s. Shiv and Sons has challenged the letters issued by IRCTC whereby full license fee has been demanded from the petitioner for the East and West Zones.

The petitioners have submitted that e-tenders were floated by the IRCTC in North, South, East and West zones for maintenance and provision of catering services in/through "Jan Ahaars" (kitchen unit) and refreshment room for a period of 5 years.

It has been contended that they have been discriminated in so far as East and West zones are concerned. They submit that differential treatment is being given to the tenderers who have submitted bids in the North and South zones.

As per the petitioner, Clause 2.3.1 of the tender document that talks of payment of license fee for refreshment room in East and West Zones is discriminatory against the bidders for the East and West Zones, with preferential treatment being given to persons who have submitted their bids for the North and South Zones.

Earlier, a single judge bench of Justice Sanjeev Sachdeva of the Delhi High Court, dismissing the plea, had observed that “Tender Documents of the East and West Zone on the one side and the North and South Zone on the other contain different clauses and as such there is no question of the Petitioners seeking equality with the bidders of the North and South Zone or raise the issue of discrimination.”

Case Title: Shiv and Sons and Anr vs IRCTC