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2017 Supreme(Guj) 1414

IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
M.R. SHAH, B.N. KARIA, JJ.
Shri Arbuda Roadlines, through Partner – Petitioner
Versus
Nuclear Power Corporation of India Ltd. – Respondent
Special Civil Application No. 8176 of 2017
Decided On : 04-09-2017

Advocates Appeared:
For the Petitioner: Mr. Archit P. Jani.
For the Respondent: Mr. Yogi K. Gadhia.

Headnote:

Constitution of India – Article 226 – letter/communication – E-Tender Notices – Cancelation of the work order – Debarment – Petitioner contended that petitioner does not challenge impugned order/communication to the extent of canceling the work order and the present petition be restricted to challenge impugned order debarring the petitioner for a period of 2 years – Present petition be confined to challenge to the impugned order debarring the petitioner for a period of 2 years – Respondent herein issued notices inviting tenders for “supply and operation of light vehicles” for a period of 3 years – E-Tender Notices were issued for two bids and the estimated cost of Tender – That alongwith the Tender Notice/Form the respondent also issued General Conditions of Contract in 2009, which was also made applicable with respect to the aforesaid Tenders also – That general conditions provide the applicability of the Minimum Wages Act also and as per Clause No. 20 contractor shall strictly comply with all provisions of Labour Laws including the Minimum Wages Act – In Tender Notice/general conditions, even the respondent also mentioned that the prevailing rate for minimum wages of construction or maintenance for unskilled, semi-skilled, skilled and highly skilled categories of industrial workers amount per day respectively – Whether case the acts of omission and/or commission committed by petitioner do warrant as such blacklisting and/or debarring the petitioner? If yes, for how much period – Held, It is true that at the relevant time when the petitioner and others submitted the bids, Notification revising the minimum wages was already issued, but nobody was aware of the said Notification including even the respondent and everybody came to know about the Notification revising the minimum wages with effect from 19.01.2017 subsequently by the time the petitioner as such submitted the bid with the base rate considering the minimum wages – It is required to be noted that as such as soon as the petitioner came to know about the above, before even the work orders were issued, the petitioner sought clarification and requested to consider its bid considering the minimum wages pre-19.01.2017 – Without clarification and/or responding to the said representations, the respondent issued the work order which as such the petitioner was not agreeable – Petitioner showed its inability to go on with the work order. It is required to be noted that as such the work order has been canceled vide order at the risk and cost of the petitioner under the provisions of the Contract Conditions – Therefore, as such there shall not be any loss or damage to the respondent authority – It cannot be disputed that as observed hereinabove, as such there are no other allegations of fraud and/or misrepresentation and/or any other similar misconduct – No justification for the respondent to debar/blacklist the petitioner for a period of 2 years – Case the blacklisting/ debarment of the petitioner is not warranted – There does not appear to be any other mala-fide intention on the part of the petitioner contractor in not proceeding further with the work order – Therefore impugned order insofar as blacklisting and/or debarring the petitioner for a period of 2 years is not sustainable and the same deserves to be quashed and set aside – However, at same time it is required to be clarified that the petitioner may not claim any right to apply and/or consider its case with respect to the tender for which as such the Tender Notices are already issued and the bids are invited. Meaning thereby the present decision shall be applicable prospectively from the date of the present order, to which even the learned Advocate for the petitioner is agreeable – It is made clear that the petitioner shall not claim any right to apply and/or consider its case with respect to the tender for which Tender Notices are already earlier issued and the bids are already received/accepted – Impugned order passed by the respondent in blacklisting and/or debarring the petitioner for a period of 2 years is hereby quashed and set aside – Directions issued – Petition partly allowed. (Paras 16 and 17)

JUDGMENT :

M.R. SHAH, J.

1. Rule. Shri Yogi K. Gadhia, learned Advocate waives service of notice of Rule on behalf of the respondent. In the facts and circumstances of the case and with the consent of learned Advocates appearing for respective parties, present petition is taken up for final hearing today.

2. By way of this petition under Article 226 of the Constitution of India, the petitioner initially had prayed for the following reliefs.

“9(A) Your Lordships may be pleased to issue an appropriate writ, order or direction quashing and setting aside the letter/communication dated 03.04.2017 (Annexure-Y) and the show-cause notice dated 05.04.2017 bearing No. KAPS/E&US/TPT/2017.S/448 (Annexure-Z) issued by the respondent.

(A-1) Your Lordships may be pleased to issue appropriate writ, order or direction quashing and setting aside the letter/communication dated 20.04.2017 bearing nos. KGuj.Site/ E&US/2017/12 and KGuj.Site/E&US/2017/13 and also the letter/communication dated 21.04.2017 bearing nos. KAPS/CTC/2017.S/330 (Annexure-CC).

(B) Your Lordships may be pleased to issue an appropriate writ, order or direction to declare that the notification dated 19.01.2017 and the circular dated 31.01.2017 bearing no. AH/3.MWA/2016 issued by the Ministry of Labour and Employment, Government of India have no applicability in the tender issued by the respondent bearing no. KAPS/CTC/COMMON/TRANSPORT/2016.ET/373 and tender no. KAPS/CTC/ COMMON/TRANSPORT/2016.ET/374 so far as it relates to computing the base rate of labour component for contract price adjustment.

(C) Pending admission, hearing and final disposal of the petition, Your Lordships be stay the letter/communication dated 03.04.2017 (Annexure-Y) and the show cause notice dated 05.04.2017 bearing no. KAPS/E&US/TPT/2017.S/448 (Annexure-Z) issued by the respondent.

(C-1) Pending admission, hearing and final disposal of the present petition, Your Lordships may be pleased to stay the letter/communication dated 20.04.2017 bearing nos. Kguj.Site/E&US/2017/12 and Kguj.Site/E&US/2017/13 and also the letter/ communication dated 21.04.2017 bearing nos. KAPS/CTC/2017.S/329 and KAPS/CTC/ 2017.S/330 (Annexure-CC); and further be pleased to restrain the respondent from issuing any work order to any party by maintaining status-quo.

(D) Pending admission, hearing and final disposal of the present petition, Your Lordships be pleased to direct the respondent not to give effect to the notification dated 19.01.2017 and the circular dated 31.01.2017 bearing no. AH/3.MWA/2016 issued by the Ministry of Labour and Employment, Government of India in computing the base rate of labour component for contract price adjustment.

(E) Your Lordships may be pleased to grant ex-parte ad-interim relief in terms of prayers (C) and (D) above.”

3. However, today when the present petition is taken up for final hearing, learned Advocate appearing on behalf of the petitioner has stated at the Bar that the petitioner does not challenge the impugned order/communication to the extent of canceling the work order and the present petition be restricted to challenge the impugned order debarring the petitioner for a period of 2 years. Therefore, the present petition be confined to challenge to the impugned order debarring the petitioner for a period of 2 years.

4. The facts leading to the present Special Civil Application in nut-shell are as under:

3.1 That the respondent herein issued notices inviting the tenders on 10.01.2017 for “supply and operation of light vehicles” for a period of 3 years. The petitioner also submitted its bid. That e-Tender Notices were issued for two bids bearing Nos. KAPS/CTC/COMMON/TRANSPORT/2016.ET/373 and KAPS/CTC/COMMON/ TRANSPORT/2016.ET/374. That the estimated cost of Tender No. KAPS/CTC/ COMMON/TRANSPORT/2016.ET/373 was Rs. 3,77,30,155/- and the estimated cost of Tender No. KAPS/CTC/COMMON/TRANSPORT/2016.ET/374 was Rs. 4,20,80,226/-. That the pre-bid meeting was scheduled on 23.01.2017 That the last date for submit






















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