Read full ActS.1 Short title, extent and commencement
(1) This Act may be called the Rajasthan Transparency in Public Procurement Act, 2012.
(2) It shall extend to the whole of the State of Rajasthan.
(3) It shall come into force on such date* as the State Government
may, by notification in the Official Gazette, appoint:
Provided that different dates may be appointed for different
provisions of this Act and any reference in any such provision to the
commencement of this Act shall be construed as a reference to the
coming into force of that provision.
S.O.217. - In exercise of the powers conferred by sub-section (3) of
section 1 of the Rajasthan Transparency in Public Procurement Act, 2012
(Act No.21 of 2012), the State Government hereby appoints 26th January,
2013 as the date, on which all the provisions of said Act shall come into
force.
S.2 Definitions
In this Act, unless the context otherwise requires,-
(i) "bid" means a formal offer made in pursuance of an invitation
by a procuring entity and includes any tender, proposal or quotation;
(ii) "bidder" means any person participating in a procurement
process with a procuring entity;
(iii) "bidder registration documents" means the documents issued
by a procuring entity, including any amendments thereto, that set out the
terms and conditions of registration proceedings and includes the
invitation to register;
(iv) "bidding documents" means documents issued by the
procuring entity, including any amendments thereto, that set out the terms
and conditions of the given procurement and includes the invitation to
bid;
(v) "bid security" means a security provided to the procuring entity
by a bidder for securing the fulfilment of any obligation in terms of the
provisions of the bidding docume
S.3 Application
(1) This Act shall apply to all procuring entities
referred to in sub-section (2).
(2) For the purposes of this Act, “procuring entity” means,-
(a) any department of the State Government or its attached or
subordinate office;
(b) any State Public Sector Enterprise owned or controlled by the
State Government;
(c) any body established or constituted by the Constitution whose
expenditure is met from the Consolidated Fund of the State;
(d) any body or board or corporation or authority or society or trust
or autonomous body (by whatever name called) established or constituted
by an Act of the State Legislature or a body owned or controlled by the
State Government;
(e) any other entity which the State Government may, by
notification, specify to be a procuring entity for the purpose of this Act,
being an entity that receives substantial financial assistance from the Sta
S.4 Fundamental principles of public procurement
(1) In
relation to a public procurement, the procuring entity shall have the
responsibility and accountability to -
(a) ensure efficiency, economy and transparency;
(b) provide fair and equitable treatment to bidders;
(c) promote competition; and
(d) put in place mechanisms to prevent corrupt practices.
(2) Subject to the provision of sub-section (3) of section 3, every
procuring entity shall carry out its procurement in accordance with the
provisions of this Act and the rules and guidelines made thereunder.
S.5 Determination of need for procurement
(1) In every case of
a procurement made under this Act the procuring entity shall first
determine the need for the subject matter of procurement.
(2) While assessing the need under sub-section (1), the procuring
entity shall take into account the estimated cost of the procurement and
also decide on the following matters, namely:-
(a) the scope or quantity of procurement, if determined;
(b) the method of procurement to be followed with justification
thereof;
(c) need for pre-qualification, if any;
(d) limitation on participation of bidders in terms of section 6, if
any applicable, and justification thereof; and
(e) any other matter as may be prescribed.
(3) The procuring entity shall maintain documents relating to the
determination of the need for procurement under sub-section (1) and the
assessment made under sub-section (2).
S.6 Participation of bidders
(1) The procuring entity shall not
establish any requirement aimed at limiting participation of bidders in the
procurement process that discriminates against or among bidders or
against any category thereof, except when authorised or required to do so
by this Act or the rules or guidelines made thereunder or by the
provisions of any other law for the time being in force.
(2) The State Government may, by notification in this behalf,
provide for mandatory procurement of any subject matter of procurement
from any category of bidders, and purchase or price preference in
procurement from any category of bidders, on the following grounds,
namely:-
(a) the promotion of domestic industry;
(b) socio-economic policy of the Central Government or the State
Government;
(c) any other consideration in public interest in furtherance of a
duly notified policy of the Central Government or the State Government:
Provided
S.7 Qualifications of bidders
(1) A procuring entity may
determine and apply one or more of the requirements specified in subsection (2) for a bidder to be qualified for participating in a procurement
process.
(2) Any bidder participating in the procurement process shall -
(a) possess the necessary professional, technical, financial and
managerial resources and competence required by the bidding documents,
pre-qualification documents or bidder registration documents, as the case
may be, issued by the procuring entity;
(b) have fulfilled his obligation to pay such of the taxes payable to
the Central Government or the State Government or any local authority as
may be specified in the bidding documents, pre qualification documents
or bidder registration documents;
(c) not be insolvent, in receivership, bankrupt or being wound up,
not have its affairs administered by a court or a judicial officer, not have
its business activities suspen
S.8 Obligations related to value of procurement
(1) Every
procuring entity shall obtain the approval of the authority which has the
necessary financial powers before initiating a procurement process.
(2) A procuring entity shall neither divide its procurement nor use a
particular valuation method for estimating the value of procurement so as
to avoid its obligations under sub-section (1) or to limit competition
among bidders or otherwise avoid its obligations under this Act:
Provided that in the interest of efficiency, economy and timely
completion or supply, a procuring entity may, for reasons to be recorded
in writing, divide its procurement into appropriate packages.
S.9 Time frame for processing
(1) Subject to the rules as may be
made by the State Government in this behalf, every procuring entity shall
pre-determine a reasonable time frame for completion of various stages of
the process of procurement and indicate the same in the pre-qualification
documents, bidder registration documents or bidding documents, as the
case may be.
(2) The procuring entity shall endeavour to adhere to the time
frame indicated under sub-section (1) and in case of failure to do so
extend such time frame for reasons to be recorded in writing.
S.10 Documentary record of procurement proceedings and of communications
(1) The procuring entity shall maintain a record of its
procurement proceedings, which shall include the following, namely:-
(a) documents pertaining to determination of need for procurement
under section 5;
(b) description of the subject matter of the procurement under
section 12;
(c) statement of the reason for choice of a procurement method
other than open competitive bidding under sub-section (4) of section 29;
(d) particulars of the participating bidders;
(e) requests for clarifications and any responses thereto including
during pre-bid conferences;
(f) bid prices and other financial terms;
(g) summary of the evaluation of bids;
(h) details of any appeal under section 38, and the related
decisions;
(i) any other information or record as may be prescribed.
(2) Any document,
S.11 Code of integrity for procuring entity and bidders
(1) No
officer or employee of a procuring entity or a person participating in a
procurement process shall act in contravention of the code of integrity
prescribed by the State Government.
(2) The code of integrity referred to sub-section (1) shall include
provisions for,-
(a) prohibiting -
(i) any offer, solicitation or acceptance of any bribe, reward or gift
or any material benefit, either directly or indirectly, in exchange for an
unfair advantage in the procurement process or to otherwise influence the
procurement process;
(ii) any omission, including a misrepresentation that misleads or
attempts to mislead so as to obtain a financial or other benefit or avoid an
obligation;
S.12 Description of the subject matter of procurement
(1) The
description of the subject matter of procurement shall be set out in the
pre-qualification documents, bidder registration documents and the
bidding documents and shall -
(a) be such as to meet the essential needs of the procuring entity;
(b) to the extent practicable-
(i) be objective, functional, generic and measurable;
(ii) set out the relevant technical, quality and performance
characteristics;
(iii) not indicate a requirement for a particular trade mark, trade
name or brand;
(c) be drawn up in accordance w
S.13 Single part and two part bids
(1) Subject to the provisions
of this Act and the rules and guidelines made thereunder, a procuring
entity may choose to-
(a) call for bids in which the technical, quality and performance
aspects, commercial terms and conditions and the financial aspects
including the price are contained in a single envelope; or
(b) if it is of the opinion that it is essential to evaluate the technical
aspects of a bid before considering its financial aspect, call for bids in two
envelopes, namely:-
(i) the techno-commercial bid containing the technical, quality and
performance aspects, commercial terms and conditions; and
(ii) the financial bid containing financial aspects including the
pr
S.14 Criteria for evaluation
(1) Save as otherwise provided in
this Act or the rules or guidelines made thereunder or in any other law for
the time being in force, the evaluation criteria shall relate to the subject
matter of procurement and may include-
(a) the price;
(b) the cost of operating, maintaining and repairing goods or
works, the time for delivery of goods, completion of works or provision
of services, the characteristics of the subject matter of procurement, such
as the functional characteristics of goods or works and the environmental
characteristics of the subject matter, the terms of payment and of
guarantees in respect of the subject matter of procurement; and
(c) where relevant, the experience, reliability and professional and
technical competence of the bidder and of the personnel to be involved in
providing the subjec
S.15 Price negotiations
Save as otherwise provided in section 31
or section 35 or in such circumstances and subject to such conditions as
may be prescribed, no price negotiation shall be held by a procuring
entity with a bidder with respect to a bid presented by him.
S.16 Terms and conditions of contracts
(1) The terms and
conditions of the procurement contracts entered into shall be in
accordance with the provisions of this Act, the applicable rules and the
conditions indicated in the bidding documents.
(2) The State Government may prescribe standard terms and
conditions of contract which shall be incorporated in the procurement
contracts entered into by procuring entities as applicable.
S.17 State Public Procurement Portal
(1) The State Government
shall set up and maintain a State Public Procurement Portal accessible to
the public for posting matters relating to public procurement.
(2) Each procuring entity shall cause the procurement related
information to be published as required under this Act or the rules and
guidelines made thereunder on the Portal referred to in sub-section (1).
(3) Without prejudice to the generality of sub-section (2), the State
Public Procurement Portal shall provide access to the following
information in relation to procurement governed by the provisions of this
Act, namely:-
(a) pre-qualification documents, bidder registration documents,
bidding documents and any amendments, clarifications including those
pursuant to pre-bid conference, and corrigenda thereto;
(b) list of bidders that presented bids including during
S.18 Pre-qualification of bidders
(1) A procuring entity may
engage in a pre-qualification process, with a view to identifying, prior to
inviting bids, the bidders that are qualified for any specified period of
time.
(2) For the purpose of sub section (1), a procuring entity may invite
offers from prospective bidders by giving wide publicity to the invitation
to pre-qualify and shall publish the particulars of the bidders that are
qualified on the State Public Procurement Portal.
(3) Where a procuring entity has undertaken a prequalification
process in respect of any procurement, only such prequalified bidders
shall be entitled to continue in the procurement proceedings.
(4) The procuring entity shall decide who is pre-qualified in
accordance with section 7 and the criteria set out in the prequalification
documents.
(5) Every pre-qualification process shall be carried out in such
manner and in accordance with such procedure as may be
S.19 Registration of bidders
(1) With a view to establishing
reliable sources for a subject matter of procurement or a class of
procurement, which may be commonly required across procuring entities
or repeatedly required by a procuring entity, a procuring entity may
maintain a panel of registered bidders.
(2) For the purpose of sub-section (1), a procuring entity may
invite offers from prospective bidders by giving wide publicity to the
invitation to register and such registration shall be done in accordance
with section 7, this section and the criteria set out in the bidder
registration documents.
(3) The procuring entities shall update the list of registered bidders
by allowing potential bidders to apply for registration on a continuous
basis or by inviting offers for registration at least once a year.
(4) The State Government may prescribe the procedure and
conditions for registration of bidders and the period for which such
registration shall be v
S.20 Contents of bidding documents
(1) Subject to the rules as
may be made in this behalf, the invitation to bid shall contain-
(a) a brief description of subject matter of procurement;
(b) in case of procurement of -
(i) goods, its specifications including the nature, quantity and place
of delivery;
(ii) works, the nature and location of the works;
(iii) services, the nature of the services and the location where they
are to be provided;
(c) any notice of limitation to participation of bidders in terms of
section 6;
S.21 Time frame for submission of bids
(1) While fixing the last
date by which bids are to be submitted by the bidders, the procuring
entity shall take into account-
(a) the need of the bidders for having a reasonable time to prepare
and submit their bids; and
(b) the time frame envisaged for procurement.
(2) Subject to the provisions of section 23, the maximum time as
may be allowed for submission of bids shall be the same for all bidders.
S.22 Pre-bid clarifications
(1) Any bidder may, in writing, seek
clarifications from the procuring entity in respect of the bidding
documents.
(2) The period within which the bidders may seek clarifications
under sub-section (1) and the period within which the procuring entity
shall respond to such requests for clarifications shall be specified in the
bidding documents.
(3) All requests for clarifications and responses thereto shall be
intimated to all bidders and where applicable, shall be published on the
State Public Procurement Portal.
(4) A procuring entity may hold a pre-bid conference to clarify
doubts of potential bidders in respect of a particular procurement and the
records of such conference shall be intimated to all bidders and where
applicable, shall be published on the State Public Procurement Portal.
S.23 Changes to bidding documents
(1) In case any modification
is made to the bidding documents or any clarification is issued which
materially affects the terms contained in the bidding documents, the
procuring entity shall publish such modification or clarification in the
same manner as the publication of the initial bidding documents.
(2) In case a clarification or modification is issued to the bidding
documents, the procuring entity may, prior to the last date for submission
of bids, extend such time limit in order to allow the bidders sufficient
time to take into account the clarification or modification, as the case may
be, while submitting their bids.
(3) Any bidder who has submitted his bid in response to the
original invitation shall have the opportunity to modify or resubmit it, as
the case may be, within the period of time originally allotted or such
extended time as may be allowed for submission of bids, when changes
are made to the bidding documents by the procuri
S.24 The procedure relating to submission, opening and evaluation of bids
Subject to the terms and conditions as may be laid
down in the bidding documents, submission of bids, opening and
evaluation of bids, including constitution of committees for those
purposes shall be in accordance with the rules as may be prescribed.
S.25 Exclusion of bids
(1) A procuring entity shall exclude a
bid if-
(a) the bidder is not qualified in terms of section 7;
(b) the bid materially departs from the requirements specified in the
bidding documents or it contains false information;
(c) the bidder submitting the bid, his agent or any one acting on his
behalf, gave or agreed to give, to any officer or employee of the
procuring entity or other governmental authority a gratification in any
form, or any other thing of value, so as to unduly influence the
procurement process;
(d) a bidder, in the opinion of the procuring entity, has a conflict of
interest materially affecting fair competition.
(2) A bid shall be excluded as soon as the cause for its exclusion is
discovered.
S.26 Cancellation of the procurement process
(1) A procuring
entity may, for reasons to be recorded in writing, cancel the process of
procurement initiated by it-
(a) at any time prior to the acceptance of the successful bid; or
(b) after the successful bid is accepted in accordance with subsections (4) and (5).
(2) The procuring entity shall not open any bids or proposals after
taking a decision to cancel the procurement and shall return such
unopened bids or proposals.
(3) The decision of the procuring entity to cancel the procurement
and reasons for such decision shall be immediately communicated to all
bidders that participated in the procurement process.
(4) If the bidder whose bid has been accepted as successful fails to
sign any written procurement contract as required, or fails to provide any
required security for the performance of the contr
S.27 Award of contract
(1) Subject to the provisions of section 25
and sub-section (2) of section 6, the procuring entity shall consider a bid
as successful-
(a) where price is the only award criterion, the bid with the lowest
bid price;
(b) where there are price and other award criteria, the most
advantageous bid ascertained on the basis of the criteria and procedures
for evaluating bids as specified in the bidding documents;
(c) where there are no financial criteria, the most advantageous bid
ascertained on the basis of selected non-financial criteria or other
parameters for evaluating bids as specified in the bidding documents.
(2) A bid shall be treated as successful in terms of sub-section (1),
only after the competent authority has approved the procurement in terms
of that bid.
(3) As
S.28 Methods of procurement
(1) Subject to the provisions of this
Act and the rules made thereunder, a procuring entity may procure a
subject matter of procurement by means of any of the following methods,
namely:-
(a) Open Competitive Bidding; or
(b) Limited Bidding; or
(c) Two stage Bidding; or
(d) Single Source Procurement; or
(e) Electronic Reverse Auction; or
(f) Request for Quotations; or
(g) Spot Purchase; or
(h) Competitive negotiations; or
(i) Rate Contract; or
S.29 Open competitive bidding
(1) Every procuring entity shall
prefer the open competitive bidding as the most preferred method of
procurement to be followed.
(2) Open competitive bidding may also be followed in case of two
stage bidding in terms of section 32, electronic reverse auction in terms of
section 33 and rate contract in terms of section 36.
(3) The procuring entity may follow the pre-qualification procedure
specified in section 18 and invite bids from pre-qualified bidders only.
(4) Where the procuring entity chooses a method of procurement
other than the open competitive bidding, it shall record the reasons and
circumstances thereof.
(5) In case of an open competitive bidding, the procuring entity
shall invite bids by publishing an invitation to bid on the State Public
Procurement Portal and in at least one such other manner as may be
prescribed.
S.30 Limited bidding
(1) A procuring entity may choose to
procure the subject matter of procurement by the method of limited
bidding, if -
(a) the subject matter of procurement can be supplied only by a
limited number of bidders; or
(b) the time and cost involved to examine and evaluate a large
number of bids may not be commensurate with the value of the subject
matter of procurement; or
(c) owing to an urgency brought about by unforeseen events, the
procuring entity is of the opinion that the subject matter of procurement
cannot be usefully obtained by adopting the method of open competitive
bidding; or
(d) procurement from a category of prospective bidders is
necessary in terms of sub-section (2) of section 6.
(2) Subject to the rules as may be ma
S.31 Single source procurement
(1) A procuring entity may
choose to procure the subject matter of procurement by the method of
single source procurement, if-
(a) the subject matter of procurement is available only from a
particular prospective bidder, or a particular prospective bidder has
exclusive rights in respect of the subject matter of procurement, such that
no reasonable alternative or substitute source exists, and the use of any
other procurement method would therefore not be possible; or
(b) owing to a sudden unforeseen event, there is an extremely
urgent need for the subject matter of procurement, and engaging in any
other method of procurement would be impractical; or
(c) the procuring entity, having procured goods, equipment,
technology or services from a supplier, determines that additional
supplies or services must be procur
S.32 Two stage bidding
(1) A procuring entity may choose to
procure the subject matter of procurement by the method of two stage
bidding, if-
(a) it is not feasible for the procuring entity to formulate detailed
specifications or identify specific characteristics for the subject matter of
procurement, without receiving inputs regarding its technical aspects
from bidders; or
(b) the character of the subject matter of procurement is subject to
such rapid technological advances and market fluctuations to make open
competitive bidding unfeasible; or
(c) the procuring entity seeks to enter into a contract for the
purpose of research, experiment, study or development, except where the
contract includes the production of items in quantities sufficient to
establish their commercial viability or to recover research and
development costs; o
S.33 Electronic reverse auction
(1) A procuring entity may
choose to procure a subject matter of procurement by the method of
electronic reverse auction, if-
(a) it is feasible for the procuring entity to formulate a detailed
description of the subject matter of the procurement;
(b) there is a competitive market of bidders anticipated to be
qualified to participate in the electronic reverse auction, such that
effective competition is ensured; and
(c) the criteria to be used by the procuring entity in determining the
successful bid are quantifiable and can be expressed in monetary terms.
(2) Subject to the rules as may be made in this behalf, the
procedure for electronic reverse auction shall include the following,
namely:-
(a) the procuring entity shall invite
S.34 Request for quotations and spot purchase
(1) A procuring
entity may choose to procure a subject matter of procurement of value
below a monetary value as may be prescribed, by the method of request
for quotations in the following situations, namely:-
(a) procurement of readily available commercial-off-the-shelf
goods that are not specially produced to the particular description of the
procuring entity and for which there is an established market; or
(b) physical services that are not specially provided to the
particular description of the procuring entity and are readily available in
the market; or
(c) procurement of any goods or works or services which are
urgently required for maintenance or emergency repairs.
(2) Subject to the rules as may be made in this behalf, the
procedure for request for quotations shall include the fol
S.35 Competitive negotiations
(1) A procuring entity may choose
to procure a subject matter of procurement by the method of competitive
negotiations, if -
(a) owing to an urgency brought about by unforeseen events, the
procuring entity is of the opinion that the subject matter of procurement
cannot be usefully obtained by adopting the method of open competitive
bidding or any other method; or
(b) the subject matter of procurement involves livestock, cotton,
oilseeds or such other agricultural produces whose prices fluctuate
frequently and in the opinion of the procuring entity the subject matter of
procurement cannot be usefully obtained by adopting the method of open
competitive bidding or any other method.
(2) Subject to the rules as may be made in this behalf, the
procedure for competitive negotiation shall include the following,
namely:-
(a) the need for the subject matter of procurement is expected to
arise on an indefinite or repeated basis during a given period of time;
(b) by virtue of the nature of the subject matter of procurement, the
need for it may arise during a given period of time.
(2) A procuring entity may award a rate contract on the basis of
open competitive bidding or by means of other procurement methods in
accordance with the provisions of this Act.
(3) Subject to the rules as may be made in this behalf, the
procedure for rate contract shall include the following, namely:-
(a) the manner in which rate contract is to be entered into,
including selection of the method of bidding to be followed; and
(b) the manner in whic
S.37 Additional conditions for use of methods of procurement
Notwithstanding anything contained in sections 30 to 36 (both inclusive),
the State Government may through notification, add the conditions for the
use of any of the methods of procurement mentioned in clauses (b) to (i)
of sub-section (1) of section 28, in a manner that is consistent with the
principles of transparency and accountability.
S.38 Appeals
(1) Subject to section 40, if any bidder or
prospective bidder is aggrieved that any decision, action or omission of
the procuring entity is in contravention to the provisions of this Act or the
rules or guidelines issued thereunder, he may file an appeal to such
officer of the procuring entity, as may be designated by it for the purpose,
within a period of ten days or such other period as may be specified in the
pre-qualification documents, bidder registration documents or bidding
documents, as the case may be, from the date of such decision or action,
omission, as the case may be, clearly giving the specific ground or
grounds on which he feels aggrieved:
Provided that after the declaration of a bidder as successful in
terms of section 27, the appeal may be filed only by a bidder who has
participated in procurement proceedings:
Provided further that in case a procuring entity evaluates the
technical bid before the opening of the financial bid,
S.39 Stay of procurement proceedings
While hearing of an
appeal under section 38, the officer or authority hearing the appeal may,
on an application made in this behalf and after affording a reasonable
opportunity of hearing to the parties concerned, stay the procurement
proceedings pending disposal of the appeal, if he, or it, is satisfied that
failure to do so is likely to lead to miscarriage of justice.
S.40 Appeal not to lie in certain cases
No appeal under section 38
shall lie against any decision of the procuring entity relating to the
following matters, namely:-
(a) determination of need of procurement in terms of section 5;
(b) provisions limiting participation of bidders in the bid process in
terms of the provisions of section 6;
(c) the decision of whether or not to enter into negotiations in terms
of section 15;
(d) cancellation of a procurement process in terms of section 26;
(e) applicability of the provisions of confidentiality under
section 49.
S.41 Punishment for taking gratification or valuable thing in respect of public procurement
Whoever, being an officer or employee
of the procuring entity acting in connection with any procurement
process, accepts or obtains or agrees to accept or attempts to obtain from
any person, for himself or for any other person, any gratification other
than legal remuneration or any valuable thing without consideration or for
a consideration which he knows to be inadequate, in connection with such
public procurement, as a motive or reward for doing or forbearing to do
any official act or for showing or forbearing to show, in the exercise of
his official functions, favour or disfavour to any person or for rendering
or attempting to render any service or disservice to any person, shall be
punishable with imprisonment which shall be not less than six months but
which may extend to five years and shall also be liable to fine.
S.42 Interference with procurement process
(1) Whoever-
(a) interferes with or influences any procurement process with the
intention of securing any wrongful gain or undue advantage for any
prospective bidder or bidder; or
(b) interferes with the procurement process with the intention of
causing any unfair disadvantage for any prospective bidder or bidder; or
(c) engages in any action or lobbying, directly or indirectly, with
the objective of unduly restricting fair competition; or
(d) intentionally influences any procuring entity or any officer or
employee thereof or wilfully or fraudulently makes any assertion or
representation that would restrict or constrain fair competition in any
procurement process; or
(e) engages a former officer or employee of a procuring entity as an
employee, director, consultant, adviser or otherwise, within a period of
one year after such former officer or employee was associated with a
procure
S.43 Vexatious appeals or complaints
Whoever intentionally files
any vexatious, frivolous or malicious appeal or complaint under this Act,
with the intention of delaying or defeating any procurement or causing
loss to any procuring entity or any other bidder, shall be punished with
fine which may extend to twenty lakh rupees or five per cent of the value
of procurement, whichever is less.
S.44 Offences by companies
(1) Where an offence under this Act
has been committed by a company, every person who at the time the
offence was committed was in charge of and was responsible to the
company for the conduct of the business of the company, as well as the
company, shall be deemed to be guilty of having committed the offence
and shall be liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub-section shall render any
such person liable for any punishment if he proves that the offence was
committed without his knowledge or that he had exercised all due
diligence to prevent the commission of such offence.
(2) Notwithstanding anything contained in sub-section (1), where
an offence under this Act has been committed by a company and it is
proved that the offence has been committed with the consent or
connivance of or is attributable to any neglect on the part of any director,
manager, secretary or other officer of the company, such director,
S.45 Abetment of certain offences
Whoever abets an offence
punishable under this Act, whether or not that offence is committed in
consequence of that abetment, shall be punished with the punishment
provided for the offence.
S.47 Previous sanction necessary for prosecution
No court shall
take cognizance of an offence punishable under this Act, alleged to have
been committed by a public servant during the course of his employment,
except with the previous sanction,-
(a) in case of a person who is employed in connection with the
affairs of the State and is not removable from his office save by or with
the sanction of the State Government, of that Government;
(b) in the case of any other person, of the authority competent to
remove him from his office.
S.48 Requirement of professional standards, training and certification
The State Government may prescribe professional
standards to be achieved by officials dealing with procurement matters
under this Act and specify suitable training and certification requirements
for the same.
S.49 Confidentiality
(1) Notwithstanding anything contained in
this Act but subject to the provisions of any other law for the time being
in force providing for disclosure of information, a procuring entity shall
not disclose any information if such disclosure, in its opinion, is likely
to -
(a) impede enforcement of any law;
(b) affect the security or strategic interests of India;
(c) affect the intellectual property rights or legitimate commercial
interests of bidders;
(d) affect the legitimate commercial interests of the procuring
entity in situations that may include when the procurement relates to a
project in which the procuring entity is to make a competitive bid, or the
intellectual property rights of the procuring entity.
(2) Except as other
S.50 State Procurement Facilitation Cel
(1) The State
Government shall establish a State Procurement Facilitation Cell which
shall be headed by an officer not below the rank of a Secretary to the
Government.
(2) The State Procurement Facilitation Cell shall discharge the
following functions, namely:-
(a) to maintain and update the State Public Procurement Portal set
up under section 17;
(b) to arrange for training and certification specified in terms of
section 48;
(c) to recommend to the State Government measures for effective
implementation of the provisions of this Act;
(d) to provide guidance, consistent with the provisions of this Act
and the rules and guidelines made thereunder, to the procuring entities
with respect to the matter relating to public procurement;
S.51 Protection of action taken in good faith
(1) Every officer or
employee of a procuring entity or any member of a committee constituted
under this Act, acting under or in pursuance of the provisions of this Act
or rules, guidelines, orders or notifications made thereunder shall be
deemed to be a public servant within the meaning of section 21 of the
Indian Penal Code, 1860 (Central Act No. 45 of 1860).
(2) No suit, prosecution or other legal proceedings shall lie against
any officer or employee or any other person acting in the discharge of any
function under this Act for any loss or damage caused or likely to be
caused by any act which is done or intended to be done in good faith and
in pursuance of the provisions of this Act.
(3) For the purposes of this section, ‘good faith’ shall have the
same meaning as is assigned to it under section 52 of the Indian Penal
Code, 1860 (Central Act No. 45 of 1860).
S.52 Application of other laws
The provisions of this Act shall be
in addition to, and not in derogation of the provisions of any other law for
the time being in force.
S.53 Recovery of sums payable under the Act
Any sum payable
by any person under this Act shall be recoverable as arrears of land
revenue.
S.54 Service of notice, documents and orders
(1) For the
purposes of this Act a notice, document or order shall be deemed to be
served-
(a) on any individual by -
(i) delivering it to the person personally; or
(ii) leaving it at, or sending it by post to, the address of the place of
residence or business of the person last known;
(b) on a body corporate by leaving it at, or sending it by post to, the
registered office of the body corporate.
(2) For the purposes of this Act, when the procedure laid down by
sub-section (1) is followed, service shall be deemed to be effected by
properly addressing, preparing and posting the document, notice or order,
as the case may be.
S.55 Power of State Government to make rules
(1) The State
Government may, by notification, make rules for carrying out the
provisions of this Act and different sets of rules may be made for
different classes or categories of procurements or procuring entities.
(2) In particular, and without prejudice to the generality of the
foregoing power, such rules may provide for all or any of the following
matters, namely:-
(i) procurements covered under sub-section (4) of section 3;
(ii) matters to be decided while determining need for procurement
under section 5;
(iii) circumstances in which participation of bidders may be limited
under section 6;
(iv) identification and treatment of conflict of interest situations
under section 7;
(v) additional qualifications to be fulfilled by bidders under clause
(f) of sub-section (1) of section 7;
(vi) time frame for various stages of
S.56 Power to issue guidelines
(1) Subject to the provisions of this
Act and the rules made thereunder, a procuring entity may issue
guidelines giving details of procedure or general forms or standard
specifications and manuals required for giving effect to the provisions of
this Act and the rules made thereunder.
(2) All guidelines issued by a procuring entity under this section
shall be laid, as soon as may be after they are so made, before the House
of the State Legislature, while it is in session, for a period of not less than
fourteen days, which may comprise in one session or in two successive
sessions and, if before the expiry of the session in which they are so laid
or of the session immediately following, the House of the State
Legislature makes any modification in any of such guidelines or resolves
that any such guideline should not be made, such guideline shall
thereafter have effect only in such modified form or be of no effect, as the
case may be, so however, that any modification
S.57 Power to remove difficulties
(1) If any difficulty arises in
giving effect to the provisions of this Act, the State Government may, by
order published in the Official Gazette, make such provisions not
inconsistent with the provisions of this Act, as may appear to it to be
necessary for removing the difficulty:
Provided that no order shall be made under this section after the
expiry of a period of two years from the commencement of this Act.
(2) Every order made under this section shall be laid, as soon as
may be after it is made, before the House of the State Legislature.
S.58 Power to exempt
(1) If the State Government is satisfied that
it is necessary in public interest so to do, it may, by order published in the
Official Gazette and for reasons to be recorded in such order, exempt any
procurement or a class or category of procurements or a class or category
of procuring entities from the application of all or any of the provisions of
this Act.
(2) Every order made under sub-section (1) shall, as soon as may
be after it is made, be laid before the House of the State Legislature.
S.59 Savings
All rules, regulations, orders, notifications,
departmental codes, manuals, bye-laws, official memoranda or circulars
relating to procurement of goods, services or works provided for in this
Act, which are in force on the date of commencement of this Act, shall
continue to be in force to the extent they are consistent with the
provisions of this Act, until they are repealed or superseded by any rule,
guideline, notification or order, as the case may be, made or issued under
this Act.
S.46 Debarment from bidding
(1) A bidder shall be debarred by
the State Government if he has been convicted of an offence -
(a) under the Prevention of Corruption Act, 1988 (Central Act No.
49 of 1988); or
(b) under the Indian Penal Code, 1860 (Central Act No. 45 of
1860) or any other law for the time being in force, for causing any loss of
life or property or causing a threat to public health as part of execution of
a public procurement contract.
(2) A bidder debarred under sub-section (1) shall not be eligible to
participate in a procurement process of any procuring entity for a period
not exceeding three years commencing from the date on which he was
debarred.
(3) If a procuring entity finds that a bidder has breached the code of
integrity prescribed in terms of section 11, it may debar the bidder for a
period not exceeding three years.
Legal Comments
"Scope of Section 46" - Section 46 deals with debarment from bidding and related consequences; mandate includes hearing opportunity before debarment; impugned orders quashed for lack of hearing [Vishnu Prakash R Pungalia Limited VS State Of Rajasthan] - [RTPP Act, Section 46(5)].
"Section 46(5) Hearing Obligation" - Natural justice requires reasonable opportunity of hearing prior to debarment; deprivation without hearing violates mandatory provisions; quashing and stay on bank guarantee encashment mandated [Vishnu Prakash R Pungalia Limited VS State Of Rajasthan].
"Debarment after Non-Participation in Tender" - Debarment can occur after following natural justice, not for future tenders without due process; failure to follow hearing requirements renders orders unsustainable [Kshitij Samuh Seva Sansthan VS State of Rajasthan].
"Appeal Rights Related to Section 46" - Section 46-based debarment and associated penalties are subject to appellate scrutiny; Section 38/Area of appeal provides alternate remedy; but abuse of process or lack of hearing undermines validity (appeals allowed where due process ignored) [Mohan Traders VS Raj. Rajya Sahkari Upbhokta Sangh Ltd. ].
"Fair Administrative Process prior to Blacklisting" - Blacklisting/debarment must adhere to fair hearing; absence of hearing invalidates the order; alternative remedy does not bar High Court scrutiny for natural justice violations [Mohan Traders VS Raj Rajya Sahkari Upbhokta Sangh Ltd].
"Substantive Grounds for Termination/Blacklisting (Fairness)" - Courts emphasize fair opportunity, reasonable notices, and non-arbitrary decisions; termination/blacklisting must be supported by fair process and substantial justification; mere pecuniary loss or discretionary penalties require due process [Ramnarayan Contractor, Through Its Partner Subhash Chandra S/o Shri Ramnarayan VS State Of Rajasthan, The Secretary, Indira Gandhi Canal Project, Jaipur (Raj. )], [Mohan Traders VS Raj Rajya Sahkari Upbhokta Sangh Ltd].
"Tender Rejection and Re-invitation Mechanics" - Procurement entities have power to reject bids and re-invite tenders under RTPP; such actions must be documented with reasons; lack of reasons or arbitrariness warrants judicial review limitations (scope limited to arbitrariness or statutory violation) [Yash Enterprises VS Rajasthan Rajya Vidyut Prasaran Nigam Limited], [B.P. Choudhary Construction Company, Through Its Proprietor B.P. Choudhary, S/o. Shri Daya Ram Ji vs State Of Rajasthan, Through The Principal Secretary].
"Material Deviations and Bid Responsiveness" - Material deviations cannot be cured; bid responsiveness is crucial; non-conformance can justify cancellation or non-consideration; judicial review respects the decision-making process but scrutinizes material deviations [Bajrang Trading Company, A Proprietorship Concern Through Its Proprietor, Mahaveer Prasad Sharma VS Rakesh Kumar Sikarwar], [Pmp Infratech Private Limited VS Rajasthan State Mines And Minerals Limited, Through Its Chairman].
"Two-Cover/e-Procurement and Technical vs Financial Evaluation" - E-procurement/process evaluation must follow statutory rules; opening of financial bid is conditioned on technical responsiveness; Clause 42.5 ITB findings upheld where pre-bid clarity existed; procedural fairness maintained [Abeinsa Infrastructuras Medio Ambiente, S. A. VS State of Rajasthan], [Johnson Johnson Private Limited VS State of Rajasthan, Medical].
"Right to Hear in Blacklisting/Forfeiture Context" - Before imposing penalties, forfeiture of earnest money and debarment require hearing; penalties should be proportional to the breach; reliance on Section 11 (code of integrity) and misrepresentation triggers strict scrutiny but must follow due process [Chhagni Ram Gehlot S/o Shri A. R. Gehlot VS State of Rajasthan, Through Secretary to the Government], [Agarwal Distributors VS Rajasthan State Mines And Minerals Limited].
"Judicial Review Limits in Public Procurement" - Constitutional and statutory review is narrow; RTPP Act provisions are to be applied consistently; courts avoid substituting their view on technical merit where process was fair; more weight on procedural compliance and statutory grounds rather than merits of tender choice [GA Infra Private Limited VS State Of Rajasthan], [Mohanuddin S/O. Khadarsab Rahimansabanavar vs State Of Karnataka R/By Its Secretary, Department Of Mines And Geology].
"Section 46 Debarment – Notice and Opportunity" - Notices and opportunities to explain default are essential; failure to provide prior notice or hearing corrupts the legality of debarment orders; quashing orders and directing fresh proceedings may be warranted [Kshitij Samuh Seva Sansthan VS State of Rajasthan], [Chhagni Ram Gehlot S/o Shri A. R. Gehlot VS State of Rajasthan, Through Secretary to the Government].
"Interplay with Article 226 and Remedies" - High Court can exercise Article 226 to enforce natural justice and statutory compliance; even where alternative remedies exist, failure to provide fair hearing can justify judicial intervention and quashing orders [Mohan Traders VS Raj Rajya Sahkari Upbhokta Sangh Ltd], [Ramnarayan Contractor, Through Its Partner Subhash Chandra S/o Shri Ramnarayan VS State Of Rajasthan, The Secretary, Indira Gandhi Canal Project, Jaipur (Raj. )].
"Forfeiture of Earnest Money" - Forfeiture can be upheld if supported by material facts and proper hearing; however, the act of forfeiture itself without hearing may be challenged and set aside; authority to levy must be anchored in Section 11/42 with due process [Devendra Construction Co. VS State Of Rajasthan], [Chhagni Ram Gehlot S/o Shri A. R. Gehlot VS State of Rajasthan, Through Secretary to the Government].
"Cancellation of Procurement with Reasons Documented" - Cancellation/annulment decisions must be documented with reasons; non-communication of reasons or arbitrariness leads to dismissal of petitions; procuring entity retains discretion but must justify decisions [B.P. Choudhary Construction Company, Through Its Proprietor B.P. Choudhary, S/o. Shri Daya Ram Ji vs State Of Rajasthan, Through The Principal Secretary].
"Uniformity of Procedure under RTPP Act and Rules" - RTPP Act enshrines core principles: transparency, fair treatment, competition, and integrity; deviations from these principles invite scrutiny; Rule 59-61 (procurement process) reinforce procedural safeguards [Panesar Agriculture Industries VS State Of Assam], [N. G. Puttaswamy VS State Of Karnataka].
"Section 38 Appeals and Natural Justice" - Section 38 appeals provide a remedy for blacklisting and related orders; denial of fair hearing rendering orders unsustainable; High Court may direct fresh decision with due process [Mohan Traders VS Raj Rajya Sahkari Upbhokta Sangh Ltd], [Ramnarayan Contractor, Through Its Partner Subhash Chandra S/o Shri Ramnarayan VS State Of Rajasthan, The Secretary, Indira Gandhi Canal Project, Jaipur (Raj. )].
"Judicial Perspective on Responsiveness and Corrections in Tender" - Substantial responsiveness required; minor typographical errors not fatal if corrected, whereas substantial non-responsiveness justifies corrective actions; scope for correction exists but must be fair [Ranjit Baruah, Son of Late Purendra Nath Baruah Proprietor of M/s Ranjit Baruah vs State of Assam], [GA Infra Private Limited VS State Of Rajasthan].
"Role of Clause 42.5 ITB – Withholding Reasons" - Withholding reasons until award was not found arbitrary when pre-bid meetings disclosed terms; court affirmed fairness of evaluation; not a basis to strike down the process where bidders were aware [Abeinsa Infrastructuras Medio Ambiente, S. A. VS State of Rajasthan].
"Non-Disclosure and Suppression of Facts" - Suppression of material facts, misrepresentation can trigger Section 11(2)(a)(ii) penalties; but courts require cogent evidence of suppression and due process to be followed for punitive actions [Kasana Builders Pvt. Ltd. VS Jaipur Development Authority], [Chhagni Ram Gehlot S/o Shri A. R. Gehlot VS State of Rajasthan, Through Secretary to the Government].
"Key Takeaway on Section 46(5) and Natural Justice" - Across multiple cases, mandatory hearing before debarment is a recurring requirement; violations lead to quashing of orders and remanding for fair hearing [Vishnu Prakash R Pungalia Limited VS State Of Rajasthan], [Kshitij Samuh Seva Sansthan VS State of Rajasthan].
"Overall Legal Principle" - RTPP Act aims to ensure transparency, fairness, and integrity in public procurement; consistent application of due process and adherence to statutory provisions is essential for legality and judicial resilience [Punjab Homoeopathic Pharmacy Cooperative Industrial VS U. O. I. Through Secy. Ministry Ayush, Ayush Bhawan], [Panesar Agriculture Industries VS State Of Assam].
Note: The references correspond to the provided source entries in square brackets. Where a point could not be substantiated by the given sources, it has been omitted.