K. MANMADHA RAO
Nestor Pharmaceuticals Limited – Appellant
Versus
State of Andhra Pradesh – Respondent
ORDER :
1. This Writ Petition is filed under Article 226 of the Constitution of India:
(i) declaring the action of the 2nd Respondent (vide email dated 07.02.2024) in cancelling the PO dated 13.12.2022 bearing PO Ref No. 2168.02/2022-Q3/212/2313 and PO dated 07.06. 2023 bearing PO Ref No 2168.03/2023 to the conditions of tender in Tender Document No. 123-8/APMSIDC/MEDICINE WlNG/2022-23 and consequently set aside the same:
(ii) declaring the action of the 2nd Respondent in issuing POs dated 06.02.2024 bearing PO Ref Nos. 2168.02/2023-Q4/212/425(10282400786) and Nos. 2168. 03/2023-Q4/212/426 (10282400787) to the 3rd Respondent at an additional cost of Rs.2,66,80,953/- as illegal, arbitrary, discriminatory and contrary to the conditions of the tender in Tender Document No. 123-8/APMSIDC/MEDlCINE WING/2022-23 and consequently set aside the POs dated 06.02.2024 bearing PO Ref Nos. 2168. 02/2023-Q4/212/425 (10282400786) and Nos. 2168.03/2023-Q4/212/426 (10282400787) issued to the 3rd Respondent.
(iii) direct the 2nd Respondent to revive the POs dated 13.12.2022 bearing PO Ref No. 2168.02/2022-Q3/21
Judicial review under Article 226 is not appropriate for resolving contractual disputes, which should be addressed in civil courts.
Once the award is notified and the contract is executed, the tender cannot be unilaterally cancelled. Arbitrary cancellation of a tender by a state authority is violative of Article 14 of the Constit....
Point of Law : Order to fulfill the requirements of principles of natural justice, a show cause notice should meet the twin requirements viz. [i] the material/grounds to be stated which according to ....
The impugned order violated principles of natural justice and tender conditions, leading to its setting aside by the court.
Judicial review in tender matters is limited; rejection based on non-compliance with tender conditions is not arbitrary.
The court emphasized the necessity of strict compliance with tender conditions and ruled against arbitrary actions by administrative authorities.
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