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JASWANT SINGH, M. S. RAMAN
Nilendra Kumar Mahapatra – Appellant
Versus
Indian Oil Corporation – Respondent
JUDGMENT
Murahari Sri Raman, J. - This matter is taken up by virtual/physical mode.
2. The petitioner, an unsuccessful tenderer, has sought for the following reliefs:
'Under the circumstances the petitioner most humbly prays that this Hon'ble Court may be graciously pleased to issue notice of Rule Nisi calling upon the opposite parties to show cause as to why the rejection of petitioner's bid vide Annexure-1 should not be quashed as being illegal and arbitrary;
And upon the opposite parties not showing cause/or insufficient cause being shown, this Hon'ble Court be further pleased to quash Annexure-1 for being illegal and null and void and the opposite parties and more particularly opposite party No.2 be directed to consider the petitioner's tender on merits subject to the petitioner meeting the other terms and conditions of the notice inviting tender and award him the work of transportation of IOCLs bulk petroleum products ex-IOCLs Bhubaneswar terminal;
And pass such other and further orders as this Hon'ble Court may deem fit and proper.'
3. The impugned Annexure-1 is the communication date
The rejection of a bid in a tender process should be based on merit consideration and qualification for allocation, and parties must plead and produce sufficient material to substantiate their case.
If two views are possible the Court should not impose the other view in the instant case.
Compliance with specific pre-qualification criteria and terms and conditions of a tender notice is crucial for the acceptance of a bid.
The court upheld that adherence to tender guidelines by public entities is essential, and allegations of impropriety must be substantiated for judicial intervention.
The authority issuing the tender has discretion in interpreting and enforcing tender requirements, and unless there is evidence of illegality, courts should exercise restraint in interfering with con....
Strict adherence to tender requirements, particularly for essential documents like NOCs, is mandated for eligibility, with judicial restraint applied in reviewing tender decisions.
The main legal point established in the judgment is that the rejection of tenders must be based on valid legal grounds and cannot be arbitrary or unfair. The court emphasized the importance of legal ....
Judicial review in tender matters is narrowly circumscribed. A court should only interfere if the procuring authority's action is arbitrary, irrational, or malafide. Mandatory tender conditions must ....
The Court emphasized the limited scope for interference in matters relating to tender/contract and the need for public interest and prudence in applying the principle of restraint.
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