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SATISH CHANDRA SHARMA, SUBRAMONIUM PRASAD
Dohwa Engineering Co. Ltd. – Appellant
Versus
Ministry of Road Transport and Highways – Respondent
JUDGMENT
Subramopium Prasad, J. The instant Writ Petition has been filed by the Petitioners under Article 226 of the Constitution of India with the following prayers:
a) Quashing of the letter/communication dated 28.02.2022 issued by the Ministry of Road Transport and Highway, whereby the Respondent has cancelled the Letter of Award (hereinafter referred to as `the LOA') dated 25.11.2021issued in favour of Petitioner, and has also annulled the entire tender process;
b) Cancellation of the fresh tender dated 03.03.2022, issued by the Respondent, and consequently;
c) Directing the Respondent to execute the `Contract Agreement' in favour of Petitioner pursuant to the award of contract vide LoA dated 25.11.2021.
2. The relevant facts leading to the filing of the instant Writ Petition are as follows:
a. On 20.05.2021, the Respondent floated a Request for Proposal ("RFP") dated 20.05.2021 for `Consultancy Services for Authority's Engineer for Supervision of Civil Construction Work of New 4 Lane Bridge (Parallel to the Existing MG SETU) with its Approaches from KM 0/000 to 14/500 across river Ganga NH-19 at Patna in the state of Bihar on EPC' ("Project"). Vide Clause 2 of the RFP, the Res
The main legal point established in the judgment is that the termination of a tender based on reasons unrelated to the business of the petitioner and without a fair opportunity of hearing is violativ....
The cancellation of a tender by an authority after the bidding process is complete is arbitrary unless supported by clear, substantiated justifications, reaffirming the need for transparency and fair....
The tendering authority's decision should not be interfered with unless it is mala fide, arbitrary, or irrational.
The court upheld the principle of judicial restraint in administrative action and emphasized the need for the State to act within the bounds of reasonableness in tender matters.
The court emphasized the need for judicial restraint in interfering with tender processes, especially in matters involving technical issues, and highlighted the limitations of the court's expertise i....
The court upheld the cancellation of a tender based on abnormal pricing, emphasizing the need for administrative fairness and the authority's discretion in tender processes.
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