SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2026 Supreme(Del) 589

IN THE HIGH COURT OF DELHI AT NEW DELHI
ANIL KSHETARPAL, AMIT MAHAJAN, JJ.
M/s Velocis Systems Pvt. Ltd - Petitioner
Versus
National Informatics Centre Services Incorporated (Nicsi) - Respondents
W.P.(C) 3987 of 2026, CM APPL. 19585 of 2026
Decided On : 19-05-2026

Advocates Appeared:
For the Petitioner: Mr. Rajesh Mohan Sinha, Mr. Prateek Mohan Sinha, Ms. Namita Sinha, Ms. Nandini Harsh and Mr. Krishnendu Das, Advs.
For the Respondent: Ms. Shiva Lakshmi, SPC along with Mr. Pravar Dennison and Mr. Ranjan Mozumdar, Advs.

In public tender processes, bidders must provide full, clear, and unambiguous disclosures regarding eligibility. An interim judicial stay on a blacklisting order does not negate the requirement to disclose the underlying factum of the blacklisting, and failure to strictly adhere to these disclosure requirements justifies bid rejection.

Headnote:(A) Constitution of India - Article 226 - Judicial review in tender matters - Scope of interference is limited - Court does not sit in appeal over contractual decisions - Interference is warranted only where the decision-making process is arbitrary, mala fide, or violates the terms of the tender document. (Paras 14, 23)

(B) Tender Process - Eligibility criteria - Declaration regarding blacklisting - Requirement of clear and categorical disclosure - Ambiguity in a material declaration regarding eligibility cannot be treated as a mere technical irregularity - Strict adherence to prescribed formats is mandatory for maintaining transparency and fairness in public procurement. (Paras 16, 17, 21)

(C) Blacklisting - Interim judicial order staying the operation of a blacklisting order - Effect on mandatory disclosure requirements - A stay order suspends the operation of the blacklisting but does not efface the underlying factum of the order - Tendering authority is entitled to insist upon full disclosure of all material facts to assess bidder eligibility. (Paras 19, 20)

Facts of the case:
A bidder participated in a public tender process and submitted a declaration regarding its blacklisting status. Upon evaluation, the tendering authority found the disclosure to be ambiguous and non-compliant with the stipulated requirements, leading to the disqualification of the bidder. The bidder argued that since the blacklisting order had been stayed by a court prior to the final submission of the bid, the disclosure or lack thereof was not material. The bidder challenged the subsequent rejection of its representation against this disqualification.

Findings of Court:
The court observed that the evaluation committee was justified in treating the ambiguous declaration as non-compliant, as strict adherence to eligibility criteria is essential in public procurement. It was held that a judicial stay on a blacklisting order does not erase the underlying fact of the blacklisting, and the bidder had a duty to provide a full and candid disclosure rather than assuming the interim order dispensed with the requirement for such disclosure.

Issues: 1. Whether the disqualification of a bidder based on an ambiguous or incomplete declaration of its blacklisting status is arbitrary. 2. Whether an interim order staying a blacklisting order absolves a bidder from disclosing the factum of the blacklisting order in a tender bid.

Ratio Decidendi: In public procurement, the tendering authority is the primary judge of compliance with tender conditions; where a bidder fails to provide a clear and unequivocal declaration regarding eligibility, the authority is justified in rejecting the bid under the terms of the tender, regardless of whether a judicial stay exists on the underlying blacklisting event.

Result: Writ petition dismissed.

Table of Content
1. establishing the factual matrix and the genesis of the tender dispute regarding eligibility. (Para 1 , 2 , 3 , 4 , 5 , 6 , 7)
2. competing interpretations of disclosure obligations when an interim stay exists on blacklisting. (Para 8 , 9 , 10 , 11 , 12)
3. requirement for strict disclosure in public procurement and scope of limited judicial review. (Para 13 , 14 , 15 , 16 , 17 , 18 , 19 , 20 , 21 , 22 , 23 , 24 , 25 , 26 , 27)
4. no requirement for detailed quasi-judicial speaking orders in technical tender evaluations. (Para 28 , 29 , 30)
5. final order dismissing the writ petition for lack of merit. (Para 31 , 32)

JUDGMENT :

ANIL KSHETARPAL, J.:

1. Through the present Writ Petition, the Petitioner assails the email/order dated 25.03.2026 [hereinafter referred to as 'Impugned Order'] issued by the Respondent, whereby the representation submitted by the Petitioner pursuant to the order dated 10.03.2026 passed in W.P.(C) 3019/2026 has been rejected, and the Petitioner has been held ineligible for further participation in the tender process pursuant to the Request for Empanelment [hereinafter referred to as 'RFE'] bearing Ref. No.NICSI/Office Support and PMS/2025/14.

2. The issue which arises for consideration in the present Petition is whether the decision of the Respondent, as communicated vide
email dated 25.03.2026, rejecting the Petitioner's representation and affirming its technical disqualification from the tender process on the ground of submission of an incorrect and incomplete disclosure regarding blacklisting, warrants interference under Article 226 of the Constitution of India.

FACTUAL MATRIX

3. In order to appreciate the controversy involved in the present Petition, the relevant facts, in brief, are required to be noticed.

4. The Petitioner participated in a tender process initiated by the Respondent for empanelment of agencies for deployment of resources for office support, project management support and rollout services pursuant to the RFE and submitted its bid on 30.12.2025.

5. Vide email dated 06.03.2026, the Respondent informed the Petitioner that its bid had been found non-compliant and was not accepted for further evaluation on the ground that the Petitioner had furnished incorrect information in relation to blacklisting.

6. Aggrieved thereby, the Petitioner filed W.P.(C) 3019/2026 before this Court challenging the aforesaid communication. The said writ petition was disposed of by order dated 10.03.2026, whereby this Court directed that the writ petition be treated as a representation to be decided by the Respondent within a period of two weeks and further directed that the financial bids shall not be opened till such decision.

7. Pursuant thereto, the Petitioner submitted a representation, which has been rejected by the Respondent vide email dated 25.03.2026, stating that the Technical Evaluation Committee ['TEC'],
upon examination, found no merit in the representation and that the decision of technical disqualification remained unchanged.

CONTENTIONS OF THE PARTIES

8. Learned counsel for the Petitioner submitted that though an order of blacklisting dated 09.12.2025 had been passed by the Agricultural and Processed Food Products Export Development Authority ['APEDA'], the same was received by the Petitioner only on 22.12.2025. It was stated that the Petitioner challenged the said order by filing W.P.(C) 19821/2025 before this Court, wherein the operation of the blacklisting order was stayed vide order dated 29.12.2025.

9. It was further contended that the Petitioner submitted its bid on 30.12.2025, i.e., subsequent to the grant of interim protection by this Court, and therefore the allegation of submission of incorrect or non- disclosure regarding blacklisting is misconceived. It was submitted that the declaration forming part of the bid documents had already been executed prior to submission of the bid, and no alteration thereof was permissible thereafter.

10. Per contra, learned counsel for the Respondent j






Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top