Gujarat High Court
Judgename :B.K.MEHTA, G.T.NANAVATI
ASIA FOUNDATION and CONSTRUCTIONS LIMITED - Appellant
Versus
STATE - Respondent
S.CRI.A. 339 of 1985
Decided On : 05/03/1985
Constitution of India, 1950 - Article 14, 1, 6 2 and 7 - Income tax Act, 1961 - Section 72 - Indian Partnership Act, 1932 - Section 8 - prospective bidders - construction to dam as such - documents for prequalifying - Power to judicial review to administrative action in matter to prequalification to prospective bidders to Controlling Authority constituted under Award to Inter State Tribunal and consequent decision to such authority disqualifying petitioners for being entitled to receive tender documents moot questions arising in this petition - questions arise on facts and in circumstances briefly narrated - Response to separate invitations issued by State Government in to prequalify prospective bidders for construction to concrete dam across river and excavation and tunneling and other civil works for Underground River Bed Power House and appurtenant works for Project in first and second petitioner Companies submitted their prequalification information and documents for aforesaid two works respectively as agreed by and between them in their joint venture agreement to Admittedly joint venture consortia applicant was entitled to make application for prequalification for those works – Held, Committees were not unequivocal in their approach in cases of joint venture applicants and if the joint ventures include one or more firms who are capable to perform the work and who indicate that they are jointly and severally responsible these should be prequalified In our opinion the Committees have clearly overlooked the aforesaid relevant criteria as indicated by the World Bank which are in consonance with the recognised connotations of joint venture concepts in context of the construction contracts. Fourthly the ultimate decision of the State Government on the basis of the recommendation - Committees treated applicants as if they were tenderers and not simply applicants to prequalify to be allowed to tender with result that decision is contrary to public interest - In that view of matter therefore decision rejecting applications of petitioners for prequalification for dam construction as well as Power House construction is vitiated bad in law and therefore liable to be set aside - Petition allowed
( 1 ) BY our order to 3/05/1985 we have allowed the petition and issued the writs and directions as specified in the said order the reasons for which we have reserved for being pronounced subsequently. Accordingly we pronounce the reasons in support to the said order.
( 2 ) WHAT is the extent to the power to judicial review to the administrative action in the matter to prequalification to the prospective bidders to the Controlling Authority constituted under the Award to Inter State River Dispute Tribunal and the consequent decision to such authority disqualifying the petitioners for being entitled to receive tender documents are the two moot questions arising in this petition. The questions arise on the facts and in the circumstances briefly narrated as under.
( 3 ) IN response to the separate invitations issued by the State Government in April 1983 to prequalify the prospective bidders for (1) construction to concrete dam across Narmada river and (2) excavation and tunneling and other civil works for the Underground River Bed Power House and appurtenant works for the Sardar Sarovar (Narmada) Project in Gujarat (hereinafter briefly referred to as the dam construction and the power house construction respectively) the first and second petitioner Companies submitted their prequalification information and documents for the aforesaid two works on 12/08/1983 and 31/10/1983 respectively as agreed by and between them in their joint venture agreement to 2/08/1983 Admittedly the joint venture consortia applicant was entitled to make application for prequalification for those works. The eligibility criteria for the prequalification to the prospective bidders for dam construction was inter alias that the applicant must be well established contractor with experience and capability in dam and similar construction and must have placed 25000 cubic metres cement concrete per month and must have had in any one year during last five years turn over of the value to Rs. 400 million in construction. Similarly. the eligibility criteria prescribed for the power house construction was that the applicant must he an established contractor with experience in underground excavation and general civil engineering works and must have done underground excavation to atleast 1000 cubic metres per month in rock mass and annual turn over to the value to Rs. 50 million in any one year during the last five years. The information was to be furnished the prospective bidders in different proformas as appended to the prequalification information. Form A required particulars to the organisational structure to the applicant. Form B pertained to the financial details to the applicant. Form C pertained to the particulars to joint venture. Form D related to the details to personnel resources. Form E related to the details to equipment to plant and machinery with the applicant. Form F related to experience while Form G. was for additional information which a particular applicant might desire to furnish. According to the petitioners the first petitioner Company is a professionally managed company with stable financial resources and having highly skilled engineering manpower and modern equipments with a large experience as a prime and subcontractors in India in course to their construction activity over a period to last 25 years. Besides India the first Petitioner Company has executed prestigious and difficult works in Iraq Nepal and Sri Lanka. It has executed major harbour projects which are more difficult than construction of dams and tunnels and have specialised itself in foundation for dams rock blasting etc. and have executed types to civil engineering jobs. The first Petitioner Company has made foul major bridges in Iraq over the river Euphrates which included launching to prestressed girders each weighing 240 tonnes. The first Petitioner Company has during five years from 1978 to 1980 alone completed 10 major works in India and abroad in
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.