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2018 Supreme(Online)(Gau) 267

GAUHATI HIGH COURT
xx, J
Jumke Store Nehru Chowk Opposite DC Office Aalo Arunachal Pradesh v. Govt. of Arunachal Pradesh and Others
Writ Petition



Advocates:
For the Appellants/Petitioners: Mr. M. Kato
For the Respondents: Ms. G. Ete, Mr. R. Saikia

The requirement of providing residency proof via EPIC in tender bids is valid, and non-compliance justifies bid rejection.

Headnote:(A) Arunachal Pradesh District Based Entrepreneurs and Professionals (Incentive Development and Promotional) Act, 2015 - Sections 2(b) and 3 - Construction tender - Eligibility based on domicile within Assembly Constituency - Bid of petitioner rejected for non-compliance with NIT conditions, specifically non-submission of EPC - Court held the requirement was valid and rejection was justified. (Paras 4, 13, 19)

(B) Judicial Review in Tender Matters - Court’s role is to ensure fairness and non-arbitrariness in the evaluation process of bids - Non-compliance with mandatory requirements justifies rejection of tender - Completed work does not merit interference if proper procedure was followed. (Paras 23, 24)

Facts of the case:
The petitioner challenged the acceptance of a bid by another contractor after his own bid was deemed technically non-compliant due to lack of essential documentation as required by the Notice Inviting Tender (NIT). The petitioner claimed not to require the Electronic Photo Identity Card (EPIC) for residency proof.

Findings of Court:
The Court reaffirmed the validity of NIT requirements aimed at encouraging local participation, upheld the rejection of the petitioner’s bid as compliant with the law, and noted that the work has been completed satisfactorily by the awarded contractor.

Issues: The legal question of whether the EPIC was mandatory and the relevance of residency proof on bid evaluation was central to the decision.

Ratio Decidendi: The Court concluded that the provisions of the NIT and the Act demonstrated valid legislative intent, requiring residency documentation and reinforcing standards for bid evaluation processes.

Result: Petitioner’s writ petition dismissed for lack of merit.

Table of Content
1. nit requirements for tender eligibility. (Para 2 , 3 , 4)
2. bid rejection justified due to non-compliance. (Para 5 , 19 , 20)
3. court's dismissal based on valid reasoning. (Para 24 , 25)

1. Heard Mr. M. Kato, learned counsel for the writ petitioner. Also heard Ms. G. Ete, learned Addl. Sr. Govt. Advocate, Arunachal Pradesh appearing on behalf of respondent Nos. 1 to 6 as well as Mr. R. Saikia, learned counsel representing respondent No. 7.

2. By filing this writ petition, a challenge has been made to the impugned letter dated 21-01-2016 by means of which, approval for acceptance of the bid offered by the respondent No. 7 in response to the NIT dated 02-01-2016 has been conveyed by the respondent No. 6 to the respondent No. 5.

3. The brief factual matrix of the case, giving rise to the filing of the present writ petition, may be noticed as hereunder. The petitioner is a registered Class - IV (B&R) contractor enlisted under the civil category by the Govt. of Arunachal Pradesh and is entitled to execute various contractual works of civil nature under the respondent authorities. On 02-01-2016, the respondent No. 5 had floated a Notice Inviting Tender (NIT) inviting item rate tenders from eligible Class - III & IV contractors for execution of the contractual work, viz. 'Infrastructure Development of SFS College, Yeggo in West Siang district (SH: Construction of Auditorium)' for an estimated cost of Rs.72,50,000/-. As per the NIT dated 02-01-2016, the last date of submission of the tenders was fixed on 11-01-2016 and the bids were to be opened on the same day.

4. Clause - 2 of the NIT had stipulated that the provisions of Arunachal Pradesh District Based Entrepreneurs and Professionals (Incentive Development and Promotional) Act 2015 (Act No. 5 of 2015) shall be applicable. Clause - 3 of the NIT further provided that Permanent Resident Certificate and EPIC card, duly issued by the competent authorities, to be submitted in proof of Assembly Constituency. As per Clause - 18 of the NIT, all contractors in Class - III and IV category, domiciled within the territorial jurisdiction of Assembly Constituency, would be eligible in the bidding process.

5. In response to the NIT dated 02-01-2016, the writ petitioner had submitted his bid. The petitioner claims to be a permanent resident of Gumin Nagar, Aalo, West Siang district in the State of Arunachal Pradesh and therefore, he had submitted a Permanent Resident Certificate along with a copy of the Schedule Tribe certificate as well as PAN card issued by the IT department in support of his address proof. However, the writ petitioner admittedly did not submit the EPIC as per the requirement of Clause - 3 of the NIT. The bids were opened on 11-01-2016 whereafter, it was found that the petitioner had not submitted EPIC as per the requirement of Clause - 3 of the NIT. On the basis of an enquiry made by the respondent No. 5, it had come to the knowledge of the authorities that the name of the writ petitioner was enrolled in the electoral roll of No. 27 - Liromoba Assembly Constituency. Taking note of the said fact, the bid submitted by the petitioner was held to be technically non - compliant. Consequently the bid of the respondent No. 7 was accepted and by the impugned letter dated 21-01-2016 the said decision was conveyed to the competent authority.

6. The respondent No. 7 has filed counter affidavit annexing a copy of the Comparative Statement (CS) of the financial bids prepared by the authorities to show that the respondent authorities had not only considered the technical bid but also the financial bid of the petitioner and rejected the same having found the offer made by the petitioner below 16% of the estimated cost and hence, unacceptable as per Clause 20.4.3.2 of the CPWD Works Manual, 2014. In the counter affidavit, the respondent No. 7 had further pleaded that the NIT itself had made it clear that the provision of the Arunachal Pradesh District Based Entrepreneurs and Profe





































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