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IN THE HIGH COURT OF JUDICATURE AT BOMBAY
Alok Aradhe, Sandeep V.Marne
Patil Roadlines – Appellant
Versus
Bharat Petroleum Corporation Limited (BPCL), Manmad Installation through its Chief Manager – Respondent
JUDGMENT :
SANDEEP V. MARNE, J.
1. Petitioners have filed the present Petition challenging the tender condition in the impugned tender notice issued by Respondent No.1-Bharat Petroleum Corporation Limited (BPCL) for award of work of road transportation of Bulk POL products by Top Loading Tank Lorries from Manmad Installation, Maharashtra to various locations within and outside the State. Petitioners have also challenged the guidelines issued by the Government of India on 18 August 1994 providing for reservation to Scheduled Castes (SC) and Scheduled Tribes (ST) categories in road transport contract by the public sector oil marketing companies.
2. Petitioners are engaged in the business of transport of petrol and petroleum products. BPCL is a public sector undertaking engaged in the business inter alia of marketing and selling petroleum products. Petitioners are the existing contractors with BPCL and were successful bidders in the previous tender process and are already providing transportation services of Bulk POL products by Top Loading Tank Lorries from Manmad installations, Maharashtra to various locations within and outside the State. The contract was awarded to them on 1 February
Reservation provisions for SC/ST in contracts are constitutionally valid and do not violate fundamental rights, reflecting affirmative action aimed at socio-economic upliftment under Article 46.
The court upheld that 100% reservation for MSEs in public procurement is valid under the MSE Policy, rejecting claims of arbitrariness towards tender selection processes.
Point of law: powers of judicial review are limited and while exercising such power the Court has to see whether the process adopted or decision made by the authority is malafideor is intended to fav....
The court upheld the tender process by ONGC, affirming that the draw of lots method is reasonable and aimed at addressing local unemployment, thus not violating constitutional rights.
Judicial review of tender conditions is limited; courts should not interfere unless actions are arbitrary, discriminatory, or mala fide, ensuring public interest is prioritized.
The court emphasized the importance of adhering to tender conditions and equitable distribution under the MSE Policy, allowing for judicial intervention only in cases of illegality.
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