HIGH COURT OF CALCUTTA
A. K. Sinha
JAIDEV JAIN AND CO. - Appellant
Versus
THE UNION OF INDIA - Respondent
Matter 219 Of 1970
Decided On : JULY 5, 1971
TENDER - ACCEPTANCE AND REJECTION - ACT-SECTION REFERRED : NONE - THE COURT HELD THAT THE ACCEPTANCE OR REJECTION OF A TENDER WAS NOT BASED ON ANY STATUTE OR STATUTORY RULES AND THE AUTHORITY CONCERNED DID NOT PASS ANY ORDER VESTED WITH CERTAIN STATUTORY POWER. MERE SUBMISSION OF TENDER DID NOT CREATE ANY RIGHT TO PROPERTY IN FAVOUR OF THE PETITIONER.
Fact of the Case:
THE PETITIONER CHALLENGED THE ACCEPTANCE OF THE RESPONDENT'S TENDER AND REJECTION OF HIS OWN TENDER FOR STREET COLLECTION AND DELIVERY OF GOODS AND PARCELS BY THE RAILWAY AUTHORITIES. THE PETITIONER ARGUED THAT THE ACCEPTANCE OF THE RESPONDENT'S TENDER WAS IN CONTRAVENTION OF THE RULES AND PROVISIONS EMBODIED IN THE FORM OF THE TENDER, THAT IT OFFENDED AGAINST HIS FUNDAMENTAL RIGHTS UNDER ARTICLE 14 OF THE CONSTITUTION, AND THAT THE CANCELLATION OF HIS TENDER WITHOUT A HEARING VIOLATED THE RULES OF NATURAL JUSTICE.
Finding of the Court:
THE COURT HELD THAT THE PETITION WAS NOT MAINTAINABLE DUE TO NON-JOINDER OF NECESSARY PARTIES, NAMELY, THE CHIEF COMMERCIAL SUPERINTENDENT, EASTERN RAILWAY, AND THE MEMBERS OF THE TENDER COMMITTEE. THE COURT ALSO HELD THAT THE ACCEPTANCE OR REJECTION OF A TENDER WAS NOT BASED ON ANY STATUTE OR STATUTORY RULES AND THE AUTHORITY CONCERNED DID NOT PASS ANY ORDER VESTED WITH CERTAIN STATUTORY POWER. MERE SUBMISSION OF TENDER DID NOT CREATE ANY RIGHT TO PROPERTY IN FAVOUR OF THE PETITIONER. THEREFORE, THE PETITIONER COULD NOT CLAIM ANY HEARING BEFORE CANCELLATION OF HIS TENDER.
Issues: 1. WHETHER THE ACCEPTANCE OF THE RESPONDENT'S TENDER AND REJECTION OF THE PETITIONER'S TENDER WERE IN CONTRAVENTION OF THE RULES AND PROVISIONS EMBODIED IN THE FORM OF THE TENDER? 2. WHETHER THE ACCEPTANCE OF THE RESPONDENT'S TENDER OFFENDED AGAINST THE PETITIONER'S FUNDAMENTAL RIGHTS UNDER ARTICLE 14 OF THE CONSTITUTION? 3. WHETHER THE CANCELLATION OF THE PETITIONER'S TENDER WITHOUT A HEARING VIOLATED THE RULES OF NATURAL JUSTICE?
Ratio Decidendi: 1. THE COURT HELD THAT THE PETITION WAS NOT MAINTAINABLE DUE TO NON-JOINDER OF NECESSARY PARTIES, NAMELY, THE CHIEF COMMERCIAL SUPERINTENDENT, EASTERN RAILWAY, AND THE MEMBERS OF THE TENDER COMMITTEE. 2. THE COURT HELD THAT THE ACCEPTANCE OR REJECTION OF A TENDER WAS NOT BASED ON ANY STATUTE OR STATUTORY RULES AND THE AUTHORITY CONCERNED DID NOT PASS ANY ORDER VESTED WITH CERTAIN STATUTORY POWER. MERE SUBMISSION OF TENDER DID NOT CREATE ANY RIGHT TO PROPERTY IN FAVOUR OF THE PETITIONER. THEREFORE, THE PETITIONER COULD NOT CLAIM ANY HEARING BEFORE CANCELLATION OF HIS TENDER.
Final Decision: THE PETITION WAS DISMISSED.
( 1 ) THIS Rule is obtained against an order rejecting petitioner's tender and accepting the one submitted by the respondent No. 3.
( 2 ) TENDERS were invited by the Chief Commercial Superintendent. Eastern Railway, for street collection and delivery of goods and parcels from Calcutta and Baranagore Booking Offices and also from several other stations. The petitioner as also others submitted their tenders in the form and manner indicated by the authorities. On 6th April, 1970, these tenders were opened in the presence of the petitioner when it was found that only two other tenders were received besides the petitioner's one, of respondent No. 3 and the other, of one Ram Kumar Agarwalla. Of these three tenders only two namely those of the petitioner and the respondent No. 3 were found in order but the rates quoted by the petitioner were lower than the rates quoted by the respondent No. 3. It is alleged that the tender submitted by the respondent No. 3 did not moreover conform to the rules contained in Clauses (15) and (17) of the tender form. Even so, the respondents Nos. 1 and 2 considered and ultimately accepted the tender of the respondent No. 3 in preference to the petitioner. In spite of repeated representations the respondents Nos. 1 and 2 did not cancel the acceptance of such tender. That is how, in short, the petitioner felt aggrieved and obtained the present Rule.
( 3 ) THE first point raised on behalf of the petitioner is that the acceptance of the tender submitted by respondent No. 3 on consequential rejection of the petitioner's tender is in contravention of rules and provisions embodied in the form of the tender. Secondly, it is stated that the rejection of the tender of the petitioner offends against the fundamental rights guaranteed under the Constitution of India and amounts to illegal discrimination contrary to Article 14 of the Constitution. Thirdly, it is submitted, in any event, cancellation of the petitioner's tender without giving an opportunity of hearing has violated the rules and principles of natural justice but no such ground. I find was taken in this form in the writ petition.
( 4 ) I think, this Rule fails on a preliminary point raised by Mr. Basak on behalf of the respondents. First, it is said in paragraph 3 of the affidavit-in-opposition that at the material time there was no such post of Chief Commercial Superintendent (Development) Eastern Railway and even no person now is holding such post. The Writ Petition is not maintainable in absence of the Chief Commercial Superintendent, Eastern Railway, who is not a party. Secondly, it is said that the petition is also bad for non-joinder of parties, viz. , the members of tender-committee whose names have been disclosed in paragraph 13 of the affidavit. It is stated that the tender-committee in its meeting held on 23rd April. 1970, considered the tenders submitted by the petitioner and the respondent No. 3 and ultimately recommended for acceptance of the tender submitted by the respondent No. 3 which was accordingly accepted by the Chief Commercial Superintendent. In paragraph 5 of the affidavit-in-reply of the petitioner affirmed on 20th June, 1970, it is however, denied that the petition is defective as under Clause (2) of the instructions to tenderers the Chief Commercial Superintendent (Development) has been described as the officer for presentation of the tenders for registration. With regard to the tender-committee it is said in the said affidavit in paragraph 14 that there was no reference of such committee under the instruction clauses in the tender form. I think, both the Chief Commerical Superintendent and the members of the tender-committee are necessary parties. For before the final acceptance or rejection of the tenders in dispute the whole thing had to pass through a continuous process of scrutiny, recommendation and then final acceptance and rejection. So, not only the Chief Commercial Superintendent but also the membe
G.J.Fernandez v. State of Mysore
Referred to : Udit Narain Singh v. Board of Revenue
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