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2018 Supreme(MP) 921

IN THE HIGH COURT OF MADHYA PRADESH
HEMANT GUPTA, CJ, VIJAY KUMAR SHUKLA, J.
Sunflag Iron and Steel Co Ltd - Appellant
Versus
State of Madhya Pradesh - Respondent
Writ Petition No. 11068 of 2018
Decided On : 18-05-2018

Advocates:
Advocate Appeared:
Naman Nagrath, Adv., Akshay Sapre, Adv., Ashish Anand Barnard, Adv.

Compliance with tender conditions and the technical bid submission process is crucial for eligibility in the bidding process.

Headnote:

Tender Bid - Pratappura Iron Ore Block - Clause 13.1.2, Clause 13.9.1 of Tender document - The court discussed the technical bid submission process, including the stages of online submission, uploading of supporting documents, and attaching documents. It highlighted the importance of complying with the tender conditions and the consequences of failing to complete the submission process.

Fact of the Case:

The petitioner challenged the list of technically qualified bidders for an iron ore block, claiming that their bid was rejected despite submitting all documents. The respondent argued that the petitioner failed to complete the technical bid submission process as per the tender conditions.

Finding of the Court:

The court found that the petitioner did not complete the required technical bid submission process and therefore upheld the rejection of their bid. It emphasized the importance of complying with tender conditions and the expertise of the Technical Evaluation and Tender Approval Committee.

Issues: The main issue was whether the petitioner's bid was rightfully rejected for not completing the technical bid submission process as per the tender conditions.

Ratio Decidendi: The court held that the petitioner failed to attach documents as required in the tender conditions, and therefore, their bid rejection was justified. It emphasized the significance of following the tender conditions and the expertise of the decision-making committee.

Final Decision: The court dismissed the petition, upholding the rejection of the petitioner's bid for not completing the technical bid submission process as per the tender conditions.

JUDGMENT :

HEMANT GUPTA, CJ.

1. The challenge in the present writ petition is to the list of technically qualified bidders of Pratappura Iron Ore Block uploaded on 10.05.2018 wherein name of the petitioner does not find mention in the list of technically qualified bidders.

2. The respondent issued a Notice Inviting Tender on 16.01.2018 (Annexure P-3) inter alia for e-auction of Pratappura Iron Ore Block, District Jabalpur. The tender contemplates online auction for which the intending bidders have to upload technical bid with other supporting documents. The last date of submission of tender was 26.03.2018.

3. The stand of the petitioner is that all the documents were uploaded on 24.03.2018 and the hard-copies were submitted on 26.03.2018. In support of the contention that the documents were submitted, the petitioner relies upon screen-shot (Annexure P-5 at page 145) of uploaded documents and the screen-shot of final bid containing initial price offer (Annexure P-6 at page 146).

4. Since the online auction is to be conducted today, therefore, the learned counsel for the respondent produced the minutes of the sixth meeting of Technical Evaluation and Tender Approval Committee held on 07.05.2018 whereby tender of the petitioner was rejected on the ground that the petitioner did not submit technical bid online. The relevant minutes read as under:-

"5. The list of Bidders declared as Not Technically Qualified Bidders (and the reason thereof) by TETAC is as below. The same is also placed at Annexure 2.

S.No

Bidder

Mineral Block

Reason for non-selection as TQB

***   ***   ***

7.

Sunflag Iron & Steel Co. Ltd.

Pratappura

Bidder did not submit technical bid online.

 

Clause 13.1.2 of Tender document - "The Technical Bid shall be submitted on the electronic platform and the duly executed original physical copies must be sent in an envelope with "Technical Bid for Pratappura Block" clearly written on it to the following address so that they are received on or prior to the Bid Due Date, failing which the Technical Bid shall be deemed to be not received"

 

Clause 13.9.1 of Tender document - "Technical Bids should be uploaded and the documents required to be submitted physically in original pursuant to Clause 13.1.2 must be received before the Bid Due Date. Technical Bids received by the State Government after the specified time on the Bid Due Date shall not be eligible for consideration and shall be summarily rejected."

***   ***   ***

5. The argument of the learned counsel for the petitioner is that initial price offer could be submitted by a tenderer only if technical bids have been successfully uploaded. Since the initial price offer has been accepted, it presupposes the valid uploading of technical bid. It is also argued that the respondent has not communicated any reason as to why the technical bid of the petitioner is not acceptable, therefore, the petitioner be permitted to participate in online auction today.

6. We have heard the learned counsel for the parties and find no merit in the present petition.

7. Learned counsel for the respondent pointed out that preparation and submission of the bid has two stages. Stage-1 is "Technical Bid" and Stage-2 is "Electronic Auction Final Price Offer. The petitioner has not completed Stage-1 itself, as the petitioner has completed two stages i.e. Bid Floor Manager and Upload Documents and not the third stage i.e. Attach Documents. The relevant conditions from Schedule-III of the Notice Inviting Tender, read as under:-

Schedule-III: Technical details regarding online electronic auction

*** *** ***

3. Preparation and Submission of Bid The complete process of bid submission will be divided into 2 stages as follows:

a. Stage 1: Technical Bid

This stage will comprise (i) online submission of the Technical Bid and the initial price

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