JUDGMENT

The petitioner is a partnership firm doing business in purchase and sale of paper/scrap, its grading and segregation. The first respondent published Ext.P2 e-tender notice dated 14/3/2022 inviting tenders for the purchase and removal of specified items of waste paper from its unit for a period of one year from 1-4-2022 to 31/3/2023. The petitioner participated in the tender and was the highest bidder for two items, viz.purchase and removal of torn damaged reels and printed waste. The petitioner's grievance is regarding the first respondent's failure to award contract for which he is the lowest tenderer. The writ petition is hence filed seeking the following reliefs;

(I) Finalise and execute tender agreements in respect of e- tender No.P2-3208/04/2022-2023/1385, for the purchase and removal of torn and damaged reels and the e-tender No.P2-3208/03/2022-2023/1385, for the purchase and removal of printed waste in favour of the petitioner and award the said works to the petitioner pending disposal of the above writ petition.

(ii). Not to award the contract in respect of e-tender No.P2- 3208/04/2022-2023/1385 for the purchase and removal of torn and damaged reels and the contract in respect of e- tender No. P2-3208/03/2022 – 2023/1385, for the purchase and removal of printed waste in favour of any other person pending disposal of the above writ petition.

2. Learned counsel for the petitioner submitted that as per the terms of the contract, the petitioner is entitled to get a total quantity of 10,000 kgs of torn and damaged reels and 35000 kgs of printed waste every month from 1-4-2022 onwards. Expecting that the award of contract will be finalised without delay, the petitioner had entered into agreements with several paper mills, promising to supply torn and damaged reels and printed waste on a monthly basis. The petitioner has been disabled from honouring his part of the agreement due to the delay in awarding the contract. This has resulted in some of the paper mills initiating legal action against the petitioner. It is contended that, the first respondent has finalised the award of contract in favour of the highest bidder for the purchase and removal of paper cutting waste, based on the very same tender proceedings. Hence, the first respondent's refusal to finalise the award of contract in the petitioner's case amounts to discrimination and arbitrary exercise of power.

3. Learned standing counsel for the first respondent society submitted that the tender process was only at a preliminary stage and the bids had not even been evaluated. It is pointed out that, immediately after the opening of the financial bids, the first respondent received Ext.R1(a) demi-official letter dated 12-4-2022 from the Principal Secretary, Industries Department. In the letter it was stated that the Government of Kerala had taken over the erstwhile Hindustan Newsprint Ltd(HNL) and formed a new company by name Kerala Paper Products Ltd(KPPL), which is slated to be commissioned in the month of the month of May 2022. As the price of paper pulp in the international market is exceedingly high, the new company has to source the white cuttings and office waste paper required the manufacturing of its produce from the domestic market. The Government therefore requested the first respondent to take necessary action for supplying white cuttings and office waste paper to KPPL. On their part, the KPPL also issued a letter to the first respondent requesting to provide cutting paper waste, torn and damaged paper reels, unusable cut bits, while folded forms and printed waste, at the highest price quoted in the tender conducted pursuant to Ext.P2 tender notification. Thereupon, the first respondent issued Ext.R1(c) communication to the Principal Secretary, Printing and Stationary, acknowledging receipt of Ext.R1(a). In the letter, it was pointed out that, permission for removing the paper cutting waste had been issued to the highest tenderer and the highest tenderer f