2009 Supreme(Mad) 1895
Madras High Court
T. RAJA, J.
Deepika Transports rep. by its Properietrix V. Revathy
Versus
General Manager, Dindigul Co-operative Milk Producers Union Ltd. & Others
Writ Petition (MD)Nos.103 & 1846 of 2009
Decided on : 24-06-2009
For the Petitioner:K. Srinivasan, P. Athi Moolapandiyan, Advocates.
For the Respondents: R1, R. Janakiramulu, Special Govt. Pleader.
The central legal point established in the judgment is the requirement for public authorities to conform to Article 14 of the Constitution, ensuring non-arbitrariness and fair play in action, particularly in the context of tender processes.
Headnote:
Tamil Nadu Transparency in Tenders Act - Writ Petition - Commercial Bid Opening - Rule 23 of Tender Rules 2000 - Summary: The court discussed the irregularities in the opening of commercial bids and the subsequent re-tendering process, highlighting the violation of Rule 23 of the Tamil Nadu Transparency in Tenders Rules, 2000. The court quashed the re-tender notification and directed the respondent to open the commercial bid as per the original tender notification.
Fact of the Case:
The petitioners filed writ petitions seeking directions to open commercial bids in response to a tender notification for the transportation of milk. The respondents had called for re-tender by altering the terms and conditions of the original tender notification, which was deemed contrary to the Tamil Nadu Transparency in Tenders Act, 1998.
Finding of the Court:
The court found that the respondents' actions in not opening the commercial bid as per the original tender notification and subsequently calling for re-tender were unreasonable, arbitrary, and in violation of Rule 23 of the Tamil Nadu Transparency in Tenders Rules, 2000.
Issues: The issues revolved around the irregularities in the tender process, the arbitrary alteration of tender conditions, and the failure to follow the prescribed procedures, leading to the filing of writ petitions seeking relief.
Ratio Decidendi: The court held that the respondents' actions were in violation of Rule 23 of the Tamil Nadu Transparency in Tenders Rules, 2000, and quashed the re-tender notification, directing the respondents to proceed based on the terms and conditions mentioned in the original tender notification.
Final Decision: Both the writ petitions were allowed, and the respondents were directed to proceed based on the terms and conditions mentioned in the original tender notification.
W.P.No.103 of 2009 has been filed for writ of mandamus directing the respondent to open commercial bid in pursuance of the notification issued by the first respondent for the purpose of transportation of Milk for the year 2009-2010.
W.P.No.1846 of 2009 has been filed praying for issuance of writ of certiorarified mandamus calling for the records of the 2nd respondent relating to re-tender notification in Na.Ka.No.3775/P-1/2008 dated 04.02.2009 and quash the same and further to direct the 2nd respondent to open the commercial bid for the tender notification in Daily Thanthi dated 20.11.2008, published in Web Site Notification e-publish dgl.24193 dated 29.11.2008 and in Dindigul Tender Bulletin dated 20.11.2008.
2. The petitioners are dealing with hiring of milk tanker for number of years with the respondents and the respondents hired the petitioner's tankers to procure and supply milk to the places mentioned by the respondents from time to time. The Petitioner Transports has been engaged in procuring and supplying the milk in Dindigul area. Whileso, the 2nd respondent invited tenders in Tamil Dailies for the hiring of milk tankers for the year 2009-2010 for the Dindigul Co-operative Milk Producers Union Ltd. As per the said notification, the last date for the submission of tender was 11.12.2008 upto 1.00 p.m. The time for opening of technical bid was fixed at 11.00 a.m on 12.12.2008 and the time for opening of commercial bid was fixed at 11.00 a.m on 15.12.2008. In response to the tender notification issued by the respondent, 6 agencies including the petitioner herein have submitted their tenders in the office of the first respondent before the stipulated time on 11.12.2008 as per the said tender notification. The respondent also after receiving applications from the petitioners opened only the technical bids on 12.12.2008. The tender committee, after scrutinizing the tenders submitted by the 6 agencies rejected 3 tenders and declared 3 tenders as qualified namely Deepika Transports, South India Road Milk Transports and Jareen Transport. This proceeding of rejecting of 3 tenders and selecting of 3 tenders were done in the presence of 6 agencies whose representatives also signed in the minutes of the proceedings. When the second part of opening the commercial bid came on 15.12.2008 at 11.00 a.m as per the said notification, it was submitted by the learned counsel appearing for the petitioner that the tender committee for the reasons best known to them did not open the commercial bid and selected the 3 qualified tenderers on 03.12.2008 at 11.00 a.m. Immediately, the petitioner Transports sent a detailed letter requesting the respondent to instruct the tender committee to strictly follow the tender terms and conditions by opening the commercial bid on 15.12.2008. But the first respondent sent a phonogram to the petitioners and others as follows:
"Refer Tender Dt.12.12.2008 (.)Commercial Bid Opening On 15.12.2008 At 11.00 A.M Is Postponed (.) Date Will Be Informed Later (.)."
Again on 27th December 2008, the petitioner and two other qualified tenders namely M/s South India Road, Milk Transport and M/s Dhanalakshmi Enterprises received another phonogram from the first respondent as follows.
"The Present Operation Of The Toad Milk Tankers May Be Continued Till The Finalisation Of Tender (.)"
3. Though the tenders were opened at the stipulated time, the commercial bid was not opened in spite of fixing the date as 15.12.2008. Therefore, the writ petitioner complained of irregularities for not opening the technical bid, particularly when nobody objected or raised any clarification in respect of commercial bid or technical bid, without any procedural violation, the commercial bid as stipulated to be opened on 15.12.2008 has not been opened, hence, the writ petition has been filed seeking for a direction to the respondents to open the commercial bid as per the tender notification.
4. After filing of this writ petition on 06.1.2