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IN THE HIGH COURT OF KERALA AT ERNAKULAM
ZIYAD RAHMAN A.A., J
M/S. ARCHON POWER INDIA PVT LTD – Appellant
Versus
INKEL LTD (INFRASTRUCTURE KERALA LIMITED) – Respondent
| Table of Content |
|---|
| 1. tender award and additional guarantee demand. (Para 1 , 2) |
| 2. clause requires item-wise guarantee below 10%. (Para 4 , 5 , 6) |
| 3. no guarantee without published item rates. (Para 7 , 9 , 10 , 12) |
| 4. respondents defend clause applicability. (Para 11) |
JUDGMENT
The petitioner is a Private Limited Company undertaking contract works mainly of the Government Agencies. The 1st respondent, a Public Private Partnership initiative of Government of Kerala, invited tenders for the work “Development of General Hospital Kozhikode– Construction of Surgical block and Service block” as per the notification dated 18.3.2025. Exhibit P1 is the relevant pages of the tender documents. As per the tender documents, the probable amount of contract (PAC) was for Rs.78,38,82,685/- against which, the petitioner quoted an amount of Rs.74,12,40,840/- which is 5.44% below the PAC. Being the lowest tenderer, the petitioner was awarded with the work.
2. Consequent to the acceptance of the tender submitted by the petitioner, Ext.P2 letter of acceptance was issued by the 1st respondent on 14.7.2025, wherein, the petitioner was required to furnish an additional performance guarantee for an amount of Rs.9
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