Madan B. Lokur, C.J.

1. The issue that arises for consideration is whether the State of Tripura was entitled to cancel the tender process in respect of High Security Registration Plates on Motor Vehicles, and if so, whether the power was validly exercised. In my opinion, the answer to the first question is in the affirmative but in respect of the second question, the answer is in the negative. In view of the answer to the second question, the prayers in the writ petition must be granted.

The Facts

2. On or about 20th August, 2009 Respondent Nos. 1 to 5 (the State of Tripura and its officials - hereinafter referred to as the State or the Government) issued a notice inviting tender (NIT) for High Security Registration Plates for Motor Vehicles. The bidders were expected to submit their bid in two parts, the first part being a technical bid and the second part being a price bid or a financial bid.

3. Initially the last date for receiving the bids was 18th September, 2009 but this was eventually extended till 17th May, 2010. By that date, bids were tendered by five entities, namely:

(a) Promukh Hoffman International Ltd,

(b) M/S Hind Industries Ltd,

(c) Akruti Security Plates Pvt. Ltd