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1996 Supreme(Ori) 164
High Court Of Orissa
ARIJIT PASAYAT, ANUP DEB
ORISSA LAW REVIEWS - Appellant
Versus
REGISTRAR, CIVIL COURTS, CUTTACK - Respondent
O. J. C. 2001 Of 1995
Decided On : 10/09/1996
ASHOK MUKHERJI, B.DAS, B.H.MOHANTY, B.MISHRA, D.BHANJA, D.K.DEY, D.P.Dhal, D.P.MOHANTY, G.B.JENA, G.KASTURI, G.R.SATPATHY, G.R.VERMA, GAUTAM MUKHERJI, M.K.MOHANTY, N.B.AGRAWAL, N.C.MOHANTY, N.R.AGRAWAL, R.K.Nayak, S.Ghosh, S.L.PATNAIK, S.MOHANTY, SAVITRI RATHE, V.PRITHIVRAJ, Y.DAS
Public procurement must be conducted in a fair, transparent, and competitive manner to ensure the best possible value for public funds.
Headnote:
PUBLIC PROCUREMENT - JUDICIAL OFFICERS' LAW BOOKS - ARBITRARY AND UNFAIR PRACTICES - CANCELLATION OF ORDERS - GUIDELINES FOR FUTURE PROCUREMENT - COMMITTEE OF REGISTRARS TO INVITE QUOTATIONS - JUDGES' COMMITTEE TO TAKE FINAL DECISION.
Fact of the Case:
Various subordinate courts placed orders for the supply of law books with The Law/ The Legal Reliables, Legal Miscellany, and The Cuttack Law House without following proper procedures, leading to allegations of underhand dealings and favoritism.
Finding of the Court:
The court found that the orders were placed without inviting tenders or obtaining quotations, and that the actions of the concerned officers were arbitrary and unfair. The court also noted that the orders were placed in a hurried manner, without making efforts to get the best possible offers.
Issues: 1. Whether the orders for the supply of law books were placed in a fair and transparent manner. 2. Whether the actions of the concerned officers were arbitrary and unfair. 3. Whether the orders should be cancelled.
Ratio Decidendi: 1. The court held that the orders were placed without following proper procedures, and that the actions of the concerned officers were arbitrary and unfair. 2. The court also held that the orders were placed in a hurried manner, without making efforts to get the best possible offers. 3. The court further held that the orders should be cancelled to ensure transparency and fairness in the procurement process.
Final Decision: The court cancelled the orders placed with The Cuttack Law House, The Law, The Legal Reliables, and Legal Miscellany. The court also directed the constitution of a Committee of Registrars to invite quotations from reputed book publishers and suppliers, and a Committee of Judges to take the final decision on the procurement of law books.
( 1 ) IN these writ applications challenge primarily is to the orders placed by various subordinate courts with The Law/ The Legal Reliables, Legal Miscellany, and The Cuttack Law House (opposite parties in some of the writ applications) for supply of law books. The petitioners in O-J-C- Nos. 2001, 2402, 2388, 3237 and 4055 of 1996 are the publishers and book sellers, while petitioner in O. J. C. No. 2431 of 1996 is claimed to be a Co-operative Society of lady lawyers. Main grievance of the petitioners is that there were lot of underhand dealings in placing orders with the aforesaid concerns. Such allegations have been denied by the recipients of the orders.
( 2 ) IT is to be noted here that pursuant to the direction given by the Apex Court in All India Judges' Association v. Union of India, AIR 1992 SC 165 : (1992 All LJ 185), Judicial Officers/courts are to be supplied with law books for effective functioning of the courts. For that purpose a sum of Rs. 45,00,000/ (forty five lakhs) was placed for disbursement to various courts and funds were allotted to the respective District Judges. According to the petitioners, without even notifying about the need for purchase, and/or inviting tenders surreptitiously orders were placed and undue favour was shown to a chosen few. The stand of the recipients of the orders on the other hand is that they are reputed concerns, carrying on business of supply of books since long, and on coming to know that funds are being placed with the various District Judges, approach was made either personally or by letter communication, and on being satisfied about their bona fides, and their capacity to supply the books, the orders were placed.
( 3 ) THE concerned officers in their affidavits have stated that after the judgment of the Supreme Court in All India Judges' Association's case (supra), the orders for supply of books were placed with reputed suppliers after observing necessary formalities.
( 4 ) IT is trite law that while entering into contracts or issuing quotas or granting any other form of largess, the concerned functionary cannot act arbitrarily and at its sweet will. Its action must be in conformity with the standard or norms which are not arbitrary, irrational or irrelevant. The action must come out unscathed on the touchstone of reasonableness and fairplay. It should be in the greater public interest. There should not be any doubt about bona fides in the action involving public money, more particularly when judicial officers are involved. Like Caesar's wife they should be above suspicion. There must be transparency in their action. Public funds should be utilised in a manner to extend maximum benefit to the intended beneficiaries. Utility of law books for judicial officers needs no elaboration or emphasis. There must be best possible utilisation of funds intended for purchase of law books for judicial officers. Any deficiency in its mode of utilisation cannot be lightly brushed aside. The unnecessary hurry with which orders were placed without making effort to get best possible offers attaches vulnerability to the action.
( 5 ) IT is an undisputed portion that tenders/quotations were not obtained. On the basis of introductory letters and approaches by the recipients of the orders the orders were placed. Some of the affidavits filed are quite revealing. It was stressed that while placing funds, the Government in Home and Finance Departments had issued instructions to surrender the unutilized balance funds under different Heads of Expenditure by 10th of March, 1996 positively. That ruled out the time consuming process of calling for tenders. Reference to some of the affidavits filed by the officers is necessary to appreciate the rival stands.
( 6 ) THE affidavit of the Registrar, Civil Courts, Dhenkanal filed on 15th May, 1996 shows that the Agent of The Cuttack Law House contacted the office for supply of books. He was asked to supply the price-list of the books required to be purcha
