( 1 ) THE petitioners have challenged the action of the respondent No. 1 - Gujarat Mineral Development Corporation Ltd. in issuing Letter of Intent dated 11th July 2002 in favour the respondent No. 2 - M/s TRF Limited, for award of the contract for Designing, Engineering, Manufacture, Supply, Transportation, Erection, Testing and Commissioning of 600 TPH Lignite Handling System and 300 TPH Lime Handling System on turnkey basis for its Akrimota Thermal Power Project, and have sought a direction on the respondent No. 1 to disqualify the tender of the respondent No. 2.

( 2 ) THE petitioner No. 1 is a public limited company engaged in the field of design, engineering, manufacture, supply, installation of bulk material handling plants and equipments for power and other industries. The respondent No. 1 invited tenders for their Akrimota Thermal Power Project on 1/03/2001. The tender documents contained details about the scope of work and other instructions and conditions. The last date and time of submission of tender consisting of technical and commercial bid (Part I) was 3/08/2001 upto 14. 00 hrs. Part II consisted of original price bid. 2. 1 after some correspondence between the tenderers and the respondent No. 1, the respondent No. 1 issued clarifications in form of Updated Tender Specifications on 21/05/2001, as per Annexure "b" to the petition and the due date of submission was extended upto 8th June 2001 for submitting technical and commercial bid and the price bid in two separate sealed envelopes. The bidders submitted their offers on 20th June 2001. 2. 2 after receiving the bids, the respondent No. 1 sought clarification with regard to the commercial and technical issues which were submitted by the bidders. Ultimately, the respondent No. 1, on 4/09/2001, notified to the bidders about the frozen plant requirements, as per Annexure "c" to the petition. On 5/09/2001, the respondent No. 1 forwarded to the bidders general (commercial) points to be considered by all the bidders for the revised price bid in Annexure "1-A" of that letter, which was to be considered alongwith other Annexures sent with the letter dated 4th September 2001 for revising the price bid. On 15th September 2001, the respondent No. 1, referring to its earlier letters dated 4-9-2001, 5-9-2001 and 7-9-2001, intimated to the bidders that their price bid for the said tender was to be submitted latest by 15. 00 hrs. of 19-9-2001, and that it would be opened on the same day by 16. 00 hrs. The bidders were requested to confirm adherence to the requirement of the respondent No. 1 finalized after post-bid meetings as intimated in the aforesaid letters. They were also intimated that - "a specific confirmation about adherence to all the requirements may be given on the corresponding Annexures / Letter duly signed by the Authorised Signatory latest by 18-9-2001. If this confirmation is not received, the price bid shall not be opened. Please note that deviations are not acceptable. " (emphasis added)2. 3 according to the petitioner No. 1, pursuant to this communication, it had sent confirmation on 18th September 2001 and submitted the price bid in a sealed cover on 19th September 2001. In the said letter dated 18/09/2001, at Annexure "f" to the petition, the petitioner No. 1 informed the respondent No. 1, referring to its earlier letters, "we confirm our adherence to the requirements finalized by GMDC after post bid meeting held between us on 1-9-2001 and intimated to us vide letters at Srl. No. 2, 3 and 4 under reference". The letters duly signed were forwarded as required. 2. 4 on 1 9/09/2001, the price bids were opened as scheduled in presence of the bidders and according to the petitioners, they came to know that the lowest bid was of the respondent No. 2 - TRF and the bid of the petitioner No. 1 was the second lowest. When the price bid of the respondent No. 2 was readover, it was noticed that the respondent No. 2 had made a condit