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S. A. DHARMADHIKARI, PRANAY VERMA
Balaji Security Services Pvt. Ltd. – Appellant
Versus
State of Madhya Pradesh – Respondent
ORDER
Dharmadhikari, J. -- 1. The present petition under Article 226 of the Constitution of India, petitioner is inter alia challenging certain provisions included in impugned notice inviting tender (NIT) issued by the respondent No.2 as published on 6.9.2023 bearing Specification No. TS-001 and Tender No. 2023 – MPSAM-3850 for outsourcing of human resources required for various tasks at Mandi Board Divisional Office, Technical Division Office and Mandi Samiti/Committee Campus as well as impugned award of contract and work order dated 6.10.2023 issued by the respondent No.2 in favour of the respondent No. 3 on the ground that the whole process in awarding the contract is unreasonable, arbitrary, discriminatory and biased.
2. Facts in nutshell are that petitioner is a private company and was incorporated on 1.4.1999 under the name and style 'M/s Balaji Detective and Security Services (India) Pvt. Limited. Thereafter, its name was changed to its present name vide Certificate of Incorporation dated 30.10.2015 issued by the Registrar of Companies, Gwalior under the provisions of Companies Act, 2013. The respondent No.2 is a statutory authority created under the provisions of M.P. Krishi
The participation in a tender process waives the right to subsequently challenge its conditions unless proven arbitrary or illegal.
Judicial review in public procurement is limited; courts refrain from interference unless clear evidence of arbitrariness or bad faith is established.
Judicial review of tender conditions is limited; courts should not interfere unless actions are arbitrary, discriminatory, or mala fide, ensuring public interest is prioritized.
The court established that significant deviations from tender guidelines and arbitrary evaluation criteria violate the principles of fairness and proportionality under Article 14 of the Constitution.
The court affirmed that a bidder's disqualification due to false declarations in tender processes is valid, emphasizing limited judicial review in contractual matters.
The formulation of tender conditions falls within the administrative domain of the authority, and judicial review is limited to preventing arbitrariness or favoritism. The courts cannot interfere wit....
Public authorities must ensure fairness and non-arbitrariness in tender processes, adhering to established eligibility criteria.
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