2024 Supreme(Online)(AP) 19282
HIGH COURT OF ANDHRA PRADESH
TARLADA RAJASEKHAR RAO, J
DEVI SRI PRASAD POULTRY FARMS – Appellant
Versus
THE STATE OF AP – Respondent
WP 25331/2024
HARI BABU MAGULURI, RAVITEJA PADIRI, GP FOR SCHOOL EDUCATION
Judicial review of tender decisions is limited; courts should not interfere unless there is clear evidence of arbitrariness or illegality in the tendering process.
Headnote:(A) Constitution of India - Article 226 - Writ Petition for Mandamus - Challenge to disqualification of bidder in tender for egg supply under various government schemes - The petitioner claimed disqualification was arbitrary and unconstitutional, lacking valid reasons as per e-Procurement Notice NIT No.13/2024 dated 27.09.2024. (Paras 1, 2, 4)
(B) Tender Conditions - The petitioner failed to provide certificates as required by the tender conditions, specifically concerning daily production of eggs and prior experience. (Paras 10, 19)
(C) Judicial Review - The court emphasized that it should refrain from interfering in tender processes unless there is clear evidence of arbitrariness or illegality. (Paras 12, 20)
Facts of the case:
The petitioner challenged the respondents' decision to disqualify their technical bid for not meeting tender requirements regarding poultry farm certification for egg supply. The petitioner argued that their certificates were compliant, while the successful bidder's documents were not. (Paras 4, 10)
Findings of Court:
The Court found that the petitioner did not meet the tender conditions, as the necessary certifications were not provided on time and were not from the required authority. (Paras 19, 20)
Issues: The main issues included whether the disqualification was arbitrary and whether the tendering authority acted within its discretion. (Paras 10, 20)
Ratio Decidendi: The court ruled that the tendering authority acted within its discretion and that the petitioner failed to demonstrate bad faith or arbitrariness in the disqualification process. (Paras 20)
Result: Writ Petition dismissed.
ORDER:
This Writ Petition is filed under Article 226 of the Constitution of India for the following relief:-
"… to issue a Writ or Direction or order, one more particularly in the nature of Writ of Mandamus declaring the action of the Respondents in declaring me as not qualified in respect of the procurement and supply of eggs to all schools and Anganwadi Centres in NTR District under Dokka Seethamma Madhyahna Badi Bhojanam and Bala Sanjeevani Schemes for the year 2024-25, without assigning any reasons, as illegal, arbitrary and unconstitutional, and also contrary to the eligibility and qualification of the bidder as indicated in e- Procurement notice NIT No.13/2024 dated 27.09.2024 and consequently to direct the Respondents to evaluate the price bid of the Petitioner along with other competitive bidders to decide the successful bidder and to pass such other order.…."
2. Precisely, the Writ Petition is filed for direction or order one, more particularly, in the nature of writ of mandamus, declaring the action of the respondents in declaring the petitioner as not qualified in respect of the procurement and supply of eggs to all schools and Anganwadi Centers in N.T.R.District under Dokka Seethamma Madhyahna Badi Bhojanam and Bala Sanjeevani Schemes for the year 2024-2025, without assigning any reasons, as illegal, arbitrary and unconstitutional and also contrary to the eligibility and qualification of the bidder as indicated in E-Procurement notice NIT No.13/2024 dated 27.09.2024 and, consequently, to direct the respondents to evaluate the price bid of the petitioner along with other competitive bidders to decide the successful bidder and to pass.
3. Facts of the case:
Department of School Education floated tender notification inviting tenders from qualified tenderers through E-Procurement Tender Notification for procurement and supply of eggs to all schools and Anganwadi centres in the State of Andhra Pradesh and one such centre in N.T.R. District under Dokka Seethamma Madhyahna Badi Bhojana and Bala Sanjeevani Schemes for the year 2024-2025 under E-Procurement Notice No.NIT No.13/2024 dated 27.09.2024. Among several other conditions, the following two conditions must be satisfied by the tenderers:
2.2.4: The Poultry Farm should be functioning continuously last three financial years (2021-22, 2022-23 & 2023-24). The certificated from Joint Director of Animal Husbandry Department where the poultry farm is situated should be enclosed.
2.2.5: The poultry farm should produce the certificate specifying the daily production of eggs (if situated in Andhra Pradesh) duly signed by the Joint Director of Animal Husbandry Department where the poultry farm is situated and has to be enclosed with the bid. In case of poultry farms are situated in other states, per day production capacity certificate should be obtained from competent authority of the concerned state and enclosed with the bid.
4. The petitioner herein and the 6th respondent and two others have submitted their tenders and the 6th respondent has been successful bidder. The petitioner herein filed the present Writ Petition aggrieved by the action of the respondents in disqualifying the technical bid.
5. As seen from the conditions incorporated in the tender notification, one shall enclose the certificate from the Joint Director of Animal Husbandry Department, where the poultry farm is situated and the certificate shall specify the daily production of eggs (if situated in State of Andhra Pradesh) duly signed by the Joint Director of Animal Husbandry Department, where the poultry farm is situated with the bid.
6. Although the Writ Petition challenges the onerous condition stipulated in the tender invitation document, the issue was not raised during the argument in the Writ Petition. Instead the issue now being raised by the learned designated Senior Counsel – Sri N.Subbarao, appearing for the petitioner, submits the Court material papers filed along with the Writ Petition to substantiates tha