IN THE HIGH COURT OF GAUHATI
B.K. SHARMA, J.
Ramen Deka – Appellants
Vs.
Union of India and Ors. – Respondent
W.P. (C) No. 2928 of 2013
Decided On: 14.08.2013
Constitution of India – Article 14 and 226 – Catering Services – Technical Evaluation – Claimed – Writ petition is directed against Annexure-4 series tender notices all which sealed bids on single stage two packet systems were invited by Chief Commercial Manager Northeast Frontier Railway providing On-Board Catering Services in various trains as indicated in tender notices – According to petitioner conditions specified in tender notices are contrary to Catering Policy circulated by Government of India in Ministry of Railways Railway Board vide its circular letter claimed in petition petitioner has been running Food Plaza at New Jalpaiguri Railway Station under N.F. Railway and he has experience of running On-Board Catering Services on trains – Referring to impugned tender notices petitioner has contended that conditions stipulated therein being opposed to the aforesaid Catering Policy are not sustainable in law – Held, Terms of invitation to tender and that is not open to judicial scrutiny enter into negotiations before finally deciding to accept one of offers made to it – Price need not always sole criterion for awarding a contract – It is free to grant any relaxation for bona fide reasons if tender conditions permit such a relaxation – It may not accept offer even though it happens to be highest or lowest its corporations instrumentalities and agencies are bound to adhere to norms standards and procedures laid down by them and cannot depart from them arbitrarily that decision is not amenable to judicial review court can examine decision making process and interfere if it is found vitiated by mala fides unreasonableness and arbitrariness – Petition dismissed.
B.K. Sharma, J.
1. This writ petition is directed against the Annexure-4 series tender notices all dated 26.04.2013, by which sealed bids on single stage two packet systems were invited by the Chief Commercial Manager/PM & Catg, Northeast Frontier Railway, Maligaon, Guwahati, for providing On-Board Catering Services in various trains as indicated in the tender notices. According to the petitioner, the conditions specified in the tender notices are contrary to the Catering Policy, 2010, circulated by the Government of India in the Ministry of Railways, Railway Board, vide its circular letter No. 35/2010 dated 21.07.2010. As claimed in the writ petition, the petitioner has been running Food Plaza at New Jalpaiguri Railway Station under N.F. Railway and he has the experience of running On-Board Catering Services on trains under the Railways for more than last 15 years. Referring to the impugned tender notices, the petitioner has contended that the conditions stipulated therein being opposed to the aforesaid Catering Policy, 2010, are not sustainable in law. Be stated here that the petitioner has not responded to the impugned tender notices by submitting his tender. The basic grounds on which the tender notices have been enumerated in Paragraphs 5, 12, 13, 14, 15, 16, 18, 19, 20, 21, 23, 25 and 26 of the writ petition, which are reproduced below.
5. That the present writ petition is being filed invoking the extra-ordinary jurisdiction of this Hon'ble Court under Article 226 of the Constitution of India challenging the legality and validity of the impugned Tender Notices issued by the Respondent No. 2 whereby the action taken by the Respondent No. 2 in fixing the Reserve Price/License Fee and formulating "Base Kitchen" norms is in clear violation to the Catering Policy 2010 and the Circular No. 82/2012 dated 31.12.2012 which is purely arbitrary and unreasonable. Moreover, the eligibility and the technical evaluation criterion as envisaged in Chapter 3 of Section A of the impugned Tender document is ambiguous and discriminatory opposed to the healthy competition since the tedious and complicated technical evaluation may disqualify a smaller layer/bidder with lower HTS even though the bidder fulfill the minimum eligibility criterion. The Petitioner prays before this Hon'ble Court to quash and set aside the Tender Notices and the Tender Document enumerating the arbitrary conditions which is in sheer violation of the Article 14 and 19(1)(g) of the Constitution of India and the principles of natural justice.
12. That it would be pertinent to note that Clause 3.3 of Chapter 3 of the Bid Document dealing with "Experience of Base Kitchen" is in complete violation to the Catering Policy 2010. Clause 6 of the Catering Policy states that the Zonal Railways will set up Base Kitchens and would be manages through departmental catering by zonal railways in phases. In case of non-availability, the Zonal Railways shall take immediate steps for construction of the same as required. But in the Bid Document, Clause 3.3 and 3.5 gives a new parameter of eligibility wherein the Bidder prior to its Bidding, has to own an operational Base Kitchen and in case the Bidder does not own a Base Kitchen, the Bidder would tie-up with the Base Kitchen and accordingly would set up the Base Kitchen. The Clause also contains setting up of the base kitchen on the non-railway area.
13. That it is humbly submitted that in accordance with the Clause 6 of the Catering Policy, the setting up of the 'Base Kitchens' was the duty of the Zonal Railways but an arbitrary undertaking to be given by the Bidders that too for setting up of the Base Kitchen within the stipulated time, is nothing but an unreasonable and arbitrary act of the Respondents thereby violating the Catering Policy, 2010. The petitioner further humbly states and submits that the conditions regarding setting up of Base Kitchen has been incorporated with the sole intention of favouring the existing contractor
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