2004 Supreme(AP) 1401
Andhra Pradesh High Court
Judges : DEVENDER GUPTA, M.NARAYANA REDDY
Ramky Infrastructures Limited - Appellant
Versus
Lakshmi Metal Industries - Respondent
Decided On : 11-23-04
Headnote:
Tender notice - Price Bid - Technical bid - Fourth respondent in writ petition is appellant and is aggrieved by order of learned single Judge allowing writ petition of Respondent No. 1 - While allowing writ petition, learned single Judge directed fourth respondent (Respondent no. 3 in the Writ Petition) to examine letter received from superintending Engineer (Electrical), CPWD and if clarification satisfies condition of tender, to accept technical bid of writ petitioner/respondent No. 1 and on acceptance thereof to open its price bid and forward same to third respondent herein for consideration along with price bid of appellant and to take appropriate decision thereupon in terms of tender notice - Held, Supreme court turned down similar argument that even if there is power vested to seek clarification and permit correction; such permission in carry out correction cannot be accorded on equitable basis in essential facts - It was held that it is essential to maintain sanctity and integrity of process of tender and also award of contract - Relying on ratio of decision of Supreme court, we are of view that respondents are bound by conditions bid conditions ought to have been complied with scrupulously; otherwise non- adherence io instructions would encourage and provide scope for discrimination, arbitrariness and favoritisms, which are totally opposed to rule of law - Very purpose of issuing instructions is to ensure their enforcement; lest the rule of law would be a casualty - Action of fourth respondent in seeking clarification itself being bad in law, writ petition ought to have been dismissed and no direction could have been issued by learned single judge for evaluating price bid of writ petitioner, since its technical bid did not meet essential eligibility criteria - Writ appeal is allowed, impugned order is set aside and writ petition is dismissed.
( 1 ) FOURTH respondent in the writ petition is the appellant and is aggrieved by the order of the learned single Judge allowing the writ petitioni of Respondent No. 1. While allowing the writ petition, the learned single Judge directed the fourth respondent (Respondent no. 3 in the Writ Petition) to examine the letter dated 26-10-2004 received from the superintending Engineer (Electrical), CPWD and if the clarification satisfies the condition of the tender, to accept the technical bid of the writ petitioner/respondent No. 1 and on acceptance thereof to open its price bid and forward the same to the third respondent herein for consideration along with the price bid of the appellant and to take appropriate decision thereupon in terms of the tender notice.
( 2 ) FOURTH respondent issued tender notice dated 7-9-2004 for execution of the work of development of new internal roads, footpaths, parking, landscaping and providing MS grill etc. , in A. P. Secretariat, hyderabad. Bidders were required to offer technical bids and price bids. Technical bid was required to be opened on 1 -10-2004 but the date was postponed and it was opened on 25-10-2004. Besides the appellant and the first respondent, two other participated in the tender. Instead of evaluating the technical bids forthwith, the fourth respondent postponed the same to the next day and asked the writ petitioner/respondent no. 1 to furnish year-wise break up particulars of electrical experience certificate from the concerned authority for which purpose the fourth respondent handed over a letter to the writ petitioner/respondent No. 1 addressed to the Superintending Engineer (Electrical) CPWD, Hyderabad to confirm the genuineness of the certificate produced by the writ petitioner and also to furnish the financial year breakup. Clarification was required to be submitted before 3 P. M. , on 26-10-2004. Writ petitioner failed to furnish necessary clarification before 3 P. M. , on 26-10-2004, the Superintending Engineer opened the price bids of the three other participants and based upon the technical bid evaluation forwarded the same to the third respondent. At that stage, the writ petitioner filed the writ petition seeking direction to declare the action of the fourth respondent herein in not opening his price bid pursuant to the tender notice with consequential directions to the fourth respondent to open the price bid and submit the same to the third respondent and ultimately to the second respondent for grant of work mentioned in the tender notice.
( 3 ) LEARNED single Judge proceeded to allow the writ petition holding that there was no fairness or reasonableness in the action of the fourth respondent while dealing with the technical bids and price bids and there was arbitrariness on the part of the fourth respondent in not opening the price bid of the writ petitioner after receipt of clarification. Further holding that bias was shown in favour of the appellant herein, writ petition was allowed with direction to accept the clarification and open the technical bid of the writ petitioner.
( 4 ) WE have heard counsel for the parties. Having considered the submissions made before us, we are of the view that the order of the learned single Judge is not sustainable in law.
( 5 ) ADMITTEDLY, as per the tender notice only the eligible bidders could offer their bids. Eligibility condition required certificates to be furnished as per the proforma available in the tender schedule. One of the certificates required to be appended to the bid, as an essential clarification, was that the contractor or his identified sub-contractor should possess required valid electrical licence and registration for executing the electrification work and should have executed similar electrical works totalling Rs. 6. 75 lakhs in any one financial year during last five financial years.
( 6 ) BIDDER was also required to submit particulars in the format specified in the tender schedule along with