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2017 Supreme(Raj) 732

IN THE HIGH COURT OF RAJASTHAN
SANGEET LODHA, J.
Chhagni Ram Gehlot S/o Shri A.R. Gehlot - Petitioner
Versus
The State of Rajasthan, Through Secretary to the Government - Respondent
Civil Writ Petition No. 13973 of 2015
Decided On : 14-02-2017

Advocates Appeared:
For the Petitioner:Mr. B.D. Purohit, Advocate.
For the Respondent:Mr. Rajat Arora, Advocate.

Headnote:

Rajasthan Transparency in Public Procurement Act, 2012 - Section11 (2)(a)(ii) & 11(2)(c) - Constitution of India, 1950 - Article 226 - Act of 1996 - Section 46 – Tender - financial bid of the tender – Disqualified - Debarred from participating in tender process - Petitioner has been debarred from participating in the tender process for a period of one year from the date of issuance of the said order – Petitioner has been declared as disqualified for opening of financial bid of tender and earnest money amounting to deposited by him, has been forfeited - Senior Regional Manager, RIICO Limited issued Bid Invitation Notice inviting online tender/bids for Development Works at Industrial Area, Boranada, Phase IV, Jodhpur - Petitioner submitted his bid for said work - Whether he has ever been denied tendering facilities by any Government Department/Public Sector Undertaking - Held, It is well settled that no action having evil and civil consequences can be taken against any person without giving him a reasonable opportunity of being heard - It is to be noticed that while passing order impugned petitioner has not been put to financial loss by forfeiting earnest money, he has been further debarred from participating in tender process for a period of one year thus, to say least, action of respondent RIICO in passing order impugned without extending an opportunity of hearing to petitioner, is ex facie violative of elementary principle of natural justice and therefore, not sustainable in eyes of law - PWD, Government of Rajasthan, vide order - Suffice it to say that debarment order which is made basis for passing order impugned, does not survive and thus, this aspect of matter also needs to be considered by RIICO while passing order on account of alleged breach of code of integrity - Impugned order is liable to be quashed - Writ petition is allowed.

Judgement Key Points

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JUDGMENT :

SANGEET LODHA, J.

1. This petition is directed against order dated 10.11.15 issued by the Senior Regional Manager, Rajasthan State Industrial & Investment Corporation Limited (RIICO), whereby on account of concealment of facts while submitting the technical bid pursuant to NIT No.13/15-16 dated 9.9.15 issued by the RIICO, the petitioner has been declared as disqualified for opening of the financial bid of the tender and earnest money amounting to Rs.7,99,980/- deposited by him, has been forfeited. Further, the petitioner has been debarred from participating in the tender process for a period of one year from the date of issuance of the said order.

2. The relevant facts are that Senior Regional Manager, RIICO Limited issued Bid Invitation Notice No.13/2015-16 dated 9.9.15 inviting online tender/bids for Development Works at Industrial Area, Boranada, Phase IV, Jodhpur. The petitioner submitted his bid for the said work. In the Schedule I attached to the tender, the tendered was required to inter alia disclose as to whether he has ever been denied tendering facilities by any Government Department/Public Sector Undertaking. The petitioner herein answered the same in negative. On the information being sought by RIICO vide communication dated 27.10.15, the Public Works Department (PWD), Government of Rajasthan, informed that vide order dated 20.4.15 issued by the Chief Engineer, PWD, Rajasthan, Jaipur, the petitioner has been debarred from participating in tender process of the construction work to be undertaken by PWD till further orders. In view of the concealment of facts by the petitioner, the Senior Manager, RIICO Limited passed the order impugned as aforesaid. Hence, this petition.

3. Learned counsel appearing for the petitioner contended that the petitioner mentioning "No" in the relevant column was only an inadvertent mistake on the part of his employee, who has filled the tender form. Learned counsel submitted that a bare perusal of the order dated 20.4.15 makes it abundantly clear that it was not a final order debarring the petitioner from participating in the tender process of the work to be undertaken by the PWD. Learned counsel submitted as a matter of fact, questioning the legality of the order dated 20.4.15, the petitioner had preferred a Writ Petition No.1087/15 before this Court and as a matter of fact, the order dated 20.4.15 passed as aforesaid, was reviewed by the respondent as per the direction of this Court and same stands withdrawn vide order dated 5.2.16 (Annexure-7). Learned counsel submitted that by suppressing the facts relating the debarment by the PWD, Government of Rajasthan, the petitioner could not have availed any undue advantage inasmuch as the order of debarment passed was only qua the works to be undertaken by the PWD and by virtue of the provisions of Section 46 of the Rajasthan Transparency in Public Procurement Act, 2012 ('the Act of 2012'), the debarment order passed by the procurement entity, the PWD, Government of Rajasthan, the petitioner could not have been debarred by the RIICO from participating in tender process initiated by it. Learned counsel submitted that no order forfeiting the earnest money and debarring the petitioner could have been passed without giving an opportunity of hearing to the petitioner. Learned counsel submitted that admittedly, the order impugned passed was not preceded by any notice to the petitioner against the proposed action and therefore, the order passed in gross violation of principles of natural justice deserves to be set aside for this reason alone.

4. On the other hand, the counsel appearing for the respondent RIICO submitted that the factum of suppression of the facts regarding order debarring the petitioner from participation in the tender process passed by the PWD is not in dispute and therefore, on account of breach of code of integrity on the part of the petitioner, the action of the respondents in forfeiting the earnest money and debarring him











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