SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2026 Supreme(Gau) 39

THE GAUHATI HIGH COURT, (HIGH COURT OF ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH)
SANJAY KUMAR MEDHI, J.
M/S Versha Technotrade Pvt. Ltd. Represented By One Of Its Director Sri Aakash Surana, Son Of Basant Surana – Petitioner 
Versus
The State Of Assam, Represented By The Office Of The Chief Engineer, Public Works Department And Ors. – Respondents
WP(C) No.6333 of 2025
Decided On : 09-01-2026 

Advocates Appeared:
For the Petitioner: Shri R. Choudhury, Adv.
For the Respondents: Shri B. Choudhury, SC, APWD, Shri T.J. Mahanta, Shri A. Borua, Shri S.K. Poddar.

Joint site inspections by competing bidders do not inherently indicate collusion unless substantiated by substantial evidence; integrity agreements in tender processes must be respected.

Headnote:(A) Constitution of India - Article 226 - Tender process - Challenge to tender process for alleged cartel formation among bidders violating Article 2 (2) (b) of the NIT - Bidder emerged as 3rd lowest - Mandatory site visit requirement addressed. (Paras 1, 2, 3, 14, 24)

(B) Tender Regulations - Integrity Agreement requirement for bidders to maintain competitiveness - Joint site inspections by bidders does not automatically imply collusion - No evidence of bid tampering or information exchange found. (Paras 6, 17, 23)

Facts of the case:
The petitioner contested the tender process for a Circuit House construction, claiming that two bidders formed a cartel during a mandatory joint site visit, which misled the tender's integrity. Bids were opened revealing the petitioner as L3. (Paras 1, 2, 3)

Findings of Court:
The site visit was carried out appropriately as required; no tangible evidence confirmed the alleged cartel; thus the petitioner's claims did not warrant intervention. (Paras 24, 26)

Issues: Whether joint inspections by two competing bidders breached contractual integrity and whether sufficient evidence of collusion was presented. (Paras 3, 14)

Ratio Decidendi: The court held that simultaneous site visits do not constitute collusion without substantial evidence, and integrity agreements were duly followed by bidders, favoring the integrity of the tender process. (Paras 23, 24)

Result: Writ petition dismissed and interim order vacated.

Table of Content
1. challenge to tender process based on cartelization. (Para 1 , 2)
2. court examined arguments; treated joint site visit as non-violation. (Para 3 , 7 , 10 , 13 , 14 , 15 , 16 , 20 , 21 , 22 , 23)
3. arguments presented regarding site visit and integrity agreement. (Para 4 , 5 , 6 , 9 , 11 , 12)
4. court's decision against interference in tender allotment. (Para 18 , 19 , 24)
5. final dismissal of the writ petition; interim order vacated. (Para 25 , 26 , 27)

JUDGMENT :

SANJAY KUMAR MEDHI, J.

The validity and legality of a tender process in which the petitioner had participated and emerged as the 3rd lowest bidder (L3) is the subject matter of challenge in this petition instituted under Article 226 of the Constitution of India.

2. As per the facts projected, the Public Works Department had floated a tender on 29.07.2025 for construction of a Circuit House at Udalguri on EPC mode. The petitioner being interested and claiming to be eligible on all respects had participated in the said tender process. Under Clause 6 (1) of the “Information and Guidelines for Bidders”, there was a requirement for a mandatory joint inspection of the site which the petitioner had done on 08.08.2025 and accordingly on 21.08.2025, the petitioner had submitted its bid. On 22.08.2025, the respondent nos. 3 and 4 had also submitted their respective bids. The technical bids were opened on 28.08.2025 when the bids of the petitioner and the respondent nos. 3 and 4 were found to be responsive which was followed by opening of the financial bids. In the financial evaluation, the financial bid of the petitioner was found to be the 3rd lowest (L3) whereas the respondent no. 3 was declared to be L1 and respondent no. 4 as L2. The grievance of the petitioner is with regard to the aspect that respondent nos. 3 and 4 had formed a cartel which is in violation of Article 2 (2) (b) of the NIT. It is submitted that the bids by the said respondent nos. 3 and 4 were submitted as a cartel and therefore, the entire tender process stands vitiated and is required to be interfered with.

3. I have heard Shri R. Choudhury, learned counsel for the petitioner. I have also heard Shri B. Choudhury, learned Standing Counsel, APWD; Shri T.J. Mahanta, learned Senior Counsel assisted by Shri A. Borua, learned counsel for the respondent no.3 and Shri S.K. Poddar, learned counsel for the respondent no. 4.

4. Shri R. Choudhury, learned counsel for the petitioner, has drawn the attention of this Court to the requirement of submitting an Integrity Agreement to maintain the sanctity of a fair competition in the tender process. Article 2 is with the aspect of the Commitment of the Bidder and under Article 2 (2) (b) of the same, there was a requirement that the bidders would not enter into any undisclosed agreement restricting competitiveness or to cartelize in the bidding process. It is submitted that one of the mandatory condition was to make a joint inspection of the site and from such joint inspection made by the respondent nos. 3 and 4, it is clear that the aforesaid condition was violated. It is the case of the petitioner that the representative of the respondent nos. 3 and 4 were together while making the site inspection. The learned counsel, in this connection has drawn the attention of this Court to the site inspection report of the respondent no. 3 which is supported by a photograph. Similar site inspection report of the same date i.e., 14.08.2025 is also submitted by the respondent no. 4 with the same photograph. It is submitted that the same demonstrates, beyond all reasonable doubt that the respondent nos. 3 and 4 were in collusion while submitting their respective bids as a result of which the sanctity of the tender process was tarnished.

5. The learned counsel for the petitioner has drawn the attention of this Court to the inferences which have been enumerated in paragraph 10 of the affidavit-in-reply filed on 22.12.2025. He has also drawn the attention of this Court to cer

Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top