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2021 Supreme(UK) 416

IN THE HIGH COURT OF UTTARAKHAND AT NAINITAL
Manoj Kumar Tiwari, J.
M/s Shiva Associates - Appellant
Versus
State Of Uttarakhand & Ors. - Respondents
Writ Petition (M/S) No. 2787 of 2021
Decided On : 27-12-2021

Advocates Appeared:
I.D. Paliwal, Advocate, T.S. Phartiyal, Advocate

The court's decision was influenced by the interpretation of the Government Order, which determined the entitlement to relaxation of the condition regarding additional performance security.

Headnote:

Performance Security - Government Order - The court found that the petitioner was not entitled to the benefit of the Government Order relaxing the condition of additional performance security, as it was applicable only to reconstruction work at specific shrines and not to the road construction project in question.

Fact of the Case:

The petitioner, lowest bidder for a road construction project, was required to furnish additional performance security due to abnormally low bid. The petitioner claimed entitlement to relaxation of this condition based on a Government Order, which the court found inapplicable.

Finding of the Court:

The court directed respondent no.3 to take a decision on the petitioner's representation within two weeks.

Issues: Entitlement to relaxation of condition regarding additional performance security based on Government Order.

Ratio Decidendi: The Government Order relaxing the condition of additional performance security was found to be applicable only to specific reconstruction work at shrines, not to the road construction project in question.

Final Decision: The writ petition was disposed of with a direction to respondent no.3 to take a decision on the petitioner's representation within two weeks.

JUDGMENT

Manoj Kumar Tiwari, J. - Petitioner was found to be the lowest bidder for the work of construction of Ghutugandhak Pani Motor Road in Doiwala constituency of District Dehradun (Km 11.50 to Km 16.00) and he was awarded the contract. Since his price bid was found to be abnormally low, therefore, respondents have required the petitioner to furnish additional performance security amounting to Rs. 66,67,809/-, in terms of Government Policy.

2. It is the contented on behalf of petitioner that condition regarding furnishing additional performance security has been relaxed by the State Government vide Government Order dated 18.10.2021. Copy of the Government Order is on record as Annexure No. 6 to the writ petition.

3. Perusal of Government Order dated 18.10.2021 reveals that condition of deposit of additional performance security was relaxed only in respect of reconstruction work undertaken by Public Works Department in Sri Badrinath and Sri Kedarnath shrines. The contract awarded to the petitioner is for constructing a road in District Dehradun and it has nothing to do with Sri Badrinath and Sri Kedarnath shrines, therefore, petitioner's case is not covered by Government Order dated 18.10.2021 and he is not entitled to any benefit of the said Government Order.

4. Learned counsel for the petitioner then submits that petitioner has already made a representation to respondent no.3 on 15.12.2021 and he prays that respondent no.3 be directed to take decision in the matter.

5. In such view of the matter, writ petition is disposed of with a direction to respondent no.3 to take decision on petitioner's representation, as early as possible, preferably within two weeks from the date of production of certified copy of this order.

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