SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2012 Supreme(Pat) 1490

IN THE HIGH COURT OF PATNA
J.N. SINGH, J.
M/s Mother India Construction Private Limited, Ashpura House, Road No.3, Sanjay Gandhi Nagar, Kankerbagh, P.S.-Patrakar Nagar, Town & District-Patna, through its Director, Chandra Sen Singh S/o late Laxmi Singh (in both)
Vs.
State of Bihar through the Principal Secretary, Water Resources Department, Government of Bihar, Sichai Bhawan, Patna & Ors. (in both) - Respondents
CWJC Nos. 9155 and 9273 of 2012
Decided on : 29.11.2012

Advocates appeared:
For the Petitioner: M/s Shashi Anugrah Narain, Shivendra Kishore, Jai Kishore Poddar, Rajeev Ranjan (in both).
For the Respondents: M/s Sunil Kr. Mandal, Bipin Kumar (in 9155), Mr. Jaishankar Barnwal (in 9273).
For the Intervener : M/s Ashok Kumar Chaudhary, Raghwendra Kumar (in 9155).

Headnote:

Tender Committee - Interpretation of Clause 15 of ITB Section - 15.1, 15.2 - The court discussed the interpretation and effect of clause 15.1 and 15.2 of the ITB Section of the SBD. It highlighted that the clause pertains to the validity of bids and the process of finalization of tenders, emphasizing that the bidder's bid had to remain valid for a minimum of 120 days. The court emphasized that the clause does not provide for automatic invalidation of the bid unless the bidder refuses to extend it or raises an objection to its consideration after 120 days. It also noted that the clause allows for the extension of the bid's validity period by the bidder on request in exceptional circumstances.

Fact of the Case:

The petitioner challenged the orders of the Engineer-in-Chief canceling the decision of the Departmental Tender Committee in respect of two tenders on the grounds that the validity period of the tender had expired and the petitioner's application extending the bid validity period had not been obtained. The court found that the decision of the Engineer-in-Chief to annul the decision of the Departmental Tender Committee was not legally correct and beyond his jurisdiction.

Finding of the Court:

The court found that the decision of the Engineer-in-Chief to annul the decision of the Departmental Tender Committee was not legally correct and beyond his jurisdiction. The court also held that the intervener was not entitled for his case to be entertained and considered in this matter.

Issues: The issues revolved around the interpretation of clause 15.1 and 15.2 of the ITB Section of the SBD, the validity of bids, and the authority of the Engineer-in-Chief to annul the decision of the Departmental Tender Committee.

Ratio Decidendi: The court's decision was based on the interpretation of clause 15.1 and 15.2 of the ITB Section of the SBD, emphasizing that the clause pertains to the validity of bids and the process of finalization of tenders. The court held that the decision of the Engineer-in-Chief to annul the decision of the Departmental Tender Committee was not legally correct and beyond his jurisdiction.

Final Decision: The court allowed the writ applications, quashed the impugned communications of the Engineer-in-Chief, and directed the respondents to treat the validity of the period of the bid of the petitioner as extended for the required period and issue work order to it.

JUDGMENT

1. These two writ applications have been filed by the same petitioner challenging the orders passed by the respondent Engineer-in-Chief canceling the decision of the Departmental Tender Committee in respect of two tenders on identical grounds. Except for the date of NIT and number, and few other dates, the facts are identical. Hence, the matters were taken up for hearing together for being disposed of by a common judgment.

2. In both the writ applications the representation of the petitioner before the Principal Secretary of the Department was pending. Hence, this Court allowed time for its disposal while adjourning the matter for another date. The representations were disposed of and rejected by the Principal Secretary which were placed on record through I.A. applications filed in the respective cases with a prayer for liberty to challenge the same also which were allowed in both the writ applications.

3. In the first writ application, the impugned orders are: (i) Annexure-1, i.e. the letter no. 1009 dated 13.4.2012 of Engineer-in-Chief addressed to the Chief Engineer, Water Resources Department, Siwan, informing him that the decision of Departmental Tender Committee dated 11.4.2012 was being annulled, as per the direction, in terms of clause 15.1 of Section 1, i.e. Instruction to Bidders (in short 'the ITB Section') of Standard Bid Document (in short 'the SBD') of the Water Resources Department of the Government of Bihar, for the reasons that (a) the last date of receipt of tender was 9.12.2011 and it was disposed of on 11.4.2012 i.e. beyond bid validity period of 120 days and Chief Engineer had not brought to the notice of the Departmental Tender Committee, in its meeting on 11.4.2012, that the validity of tender had expired and that (b) no application of the contractor was obtained for extension of his bid validity period and placed in the Tender Committee meeting; (ii) Annexure-2, the fresh NIT No. 1/2012-13 dated 24.4.2012 issued under the signature of the respondent Executive Engineer, Saran at Chapra, and (iii), with the permission of Court, Annexure-9, the order of Principal Secretary dated 18.7.2012 rejecting the representation of the petitioner. In the 2nd case, the impugned orders are (i) its Annexure1, letter no. 1010 dated 13.4.2012, also issued by the Engineer-in-Chief addressed to the Chief Engineer, Water Resources Department, Muzaffarpur, annulling the decision of the Departmental Tender Committee on the same grounds; (ii) with the permission of the Court, Annexure-7, the fresh NIT No. 1/2012-13 dated 2.5.2012 issued under the signature of the respondent Executive Engineer, Flood and Water• Discharge Division, Lalganj (Vaishali), and (iii) also with the permission of Court, Annexure-8, the order of Principal Secretary dated 1.8.2012, rejecting the representation of the petitioner. In both the cases further prayer of petitioner is for a direction to the respondents to issue work order to it, in terms of the decision of the Departmental Tender Committee dated 11.4.2012 in its favour.

4. The short facts of the 1st case are that 3rd NIT No. 6/2011-12 was issued under the signature of the respondent Executive Engineer, vide Annexure-4, on 23.11.2011 inviting tender for construction of black top road on Saran Embankment at right bank of river Gandak between 35.20-80.00 Kms. and some other related work. The last date for receipt of tender was 9.12.2011 till 3.00 PM and technical bid was to be opened on the same day at 3.30 PM. The validity of tender was fixed as 120 days. In the 2nd case, NIT No. 2/2011-12, was issued under the signature of the respondent Executive Engineer, vide Annexure-3, on 12.11.2011 for construction of Bituminous road over Tirhut Embankment between 0 to 39.61 Kms. on the left bank of river Gandak. The last date for receipt of bids in this case was also 9.12.2011 till 3.00 pm and the technical bid was to be opened on 3.30 PM on that very day. The period of bid validity in this case was als





















Click Here to Read the rest of this document

1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top