IN THE HIGH COURT OF ORISSA AT CUTTACK
M.S.RAMAN, HARISH TANDON, CJ.
Care Security & Allied Services – Appellant
Versus
State of Odisha – Respondent
| Table of Content |
|---|
| 1. petitioner’s tender bid was rejected due to alleged prior blacklisting. (Para 1 , 2 , 3) |
| 2. blacklisting carries severe civil implications, impacting eligibility for government contracts. (Para 4 , 5 , 6 , 7) |
| 3. lapsed blacklisting should not affect tender eligibility once the period has expired. (Para 8 , 9) |
| 4. court quashed the bid rejection, allowing petitioner to proceed to financial bid stage. (Para 11 , 12 , 13 , 14) |
JUDGMENT :
HARISH TANDON, CJ.
1. The tender bid submitted by the petitioner is rejected by the authority on a solitary ground of having submitted the false affidavit with regard to the blacklisting.
2. The Transport Commissioner, Odisha floated a tender for selection of a service provider for supplying manpower services with basic computer knowledge on manhour basis to the office of the Transport Commissioner and its subordinate offices. One of the terms incorporated in the said tender document relating to the preparation and evaluation of the proposal mandatorily required several documents to be appended with the tender bid, which includes Non-Blacklisted Undertaking in the format annexed to the bid document as Annexure-7. The said prescribed format
The court established that a previous blacklisting does not permanently hinder an entity's ability to participate in tenders once the stipulated period has ended.
Authority cannot perpetually debar an entity from participation in tenders post-blacklisting period.
Blacklisting of a contractor requires prior contractual obligations; mere non-participation in tender processes does not justify blacklisting.
The court emphasized the need for strict observance of the principles of natural justice before passing an order of blacklisting and highlighted the requirement of a valid, particularised, and unambi....
Debarment from future tenders without a hearing constitutes a violation of natural justice and is treated as blacklisting requiring a specific show cause notice.
A company retains the right to participate in tenders unless formally blacklisted, despite the cancellation of previous bidding processes.
Blacklisting cannot be indefinite and should be for a reasonable period, and the negative consequences of blacklisting cannot continue beyond the period of blacklisting itself.
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