SAVE MON REGION FEDERATION & ANR. versus THE STATE OF ARUNACHAL PRADESH & ORS.
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[2026] 5 S.C.R. 1 : 2026 INSC 320 Save Mon Region Federation & Anr. v. The State of Arunachal Pradesh & Ors. (Writ Petition (Civil) No. 54 of 2024) 06 April 2026 [Vikram Nath,* Sandeep Mehta and N.V. Anjaria, JJ.] Issue for Consideration The principal issue that arises for consideration is whether the allegations and the prima facie material relating to the award and execution of public works contracts, including the asserted pattern of repeated departures from open and competitive tendering, gaps in official documentation, and the stated award of works to Respondent Nos. 4 to 6 or firms and individuals related to them, warrant a direction by this Court for an independent investigation by the CBI and or the constitution of a SIT, and, if so, the scope of such investigation and the consequential directions required to secure the integrity of the process. Headnotes† Constitution of India – Arts.14, 21, 32 – Public procurement – Award of public contracts – The present Writ Petition u/Art.32 of the Constitution of India has been filed in public interest, alleging that the award and execution of public works contracts in the State have been marked by arbitrariness, favouritism and serious departures from the governing financial and procurement norms, including allegations of preferential allotment of works to respondent nos. 4 to 6 and to firms or individuals stated to be related to them – On that basis, the petitioners seek, inter alia, a direction for an independent investigation by a Special Investigation Team (SIT) and or the Central Bureau of Investigation (CBI): Held: In a constitutional democracy governed by the rule of law, the exercise of public power is always subject to constitutional discipline – The State does not hold public resources as a private proprietor, but as a trustee on behalf of the people – Whenever * Author 2 [2026] 5 S.C.R. Supreme Court Reports the State undertakes the allocation of public resources, the award of public contracts, or the execution of public works, it is bound to act in a manner that is transparent, fair, and consistent with the guarantee of equality u/Art.14 of the Constitution of India – The process through which such decisions are taken must therefore be capable of withstanding objective scrutiny and must reflect a decision-making framework that is free from arbitrariness, favouritism, or undisclosed conflicts of interest – That the petitioners’ allegations are not confined to a mere grievance about the outcome of a tender – They raise issues that go to the integrity of public procurement and the traceability of public expenditure – The audit report, the petitioners’ additional affidavit, and the State’s replies together disclose repeated resort to non-tender methods, repeated absence of recorded reasons for such resort, and repeated non-production of vouchers and tender-related records in relation to high value public projects – The State’s reliance on aggregate percentages does not, by itself, answer the concerns arising from specific instances where the procurement trail is incomplete or absent – These are matters that require structured investigation into the decision making process, the custody and availability of records, the reasons for deviations, the identification of beneficiaries and related-party links, and the ascertainment of whether any cognizable offences or other legal breaches are disclosed – This is a fit case where an independent investigation is necessary – The nature of allegations, the institutional proximity of the persons against whom allegations are made, and the recurring deficiencies in the procurement record make it necessary to entrust the investigation to an agency which is institutionally independent of the State executive – The CBI is the appropriate agency for this purpose. [Paras 1, 2 ,29, 41] Constitution of India – Art.14 – Award of public contracts – Legality, Transparency, and Institutional accountability: Held: Public confidence in governance rests upon the assurance that opportunities created by the State are administered through institutions that respect equality, integrity, and accountability – Where the distribution of public resources is clouded by allegations of nepotism, patronage, or opaque decisionmaking, the issue is not merely one of administrative irregularity – It raises concerns that go to the heart of the constitutional promise that State action shall [2026]
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