BANSHIDHAR CONSTRUCTION PVT. LTD. versus BHARAT COKING COAL LIMITED & OTHERS

BANSHIDHAR CONSTRUCTION PVT. LTD. versus BHARAT COKING COAL LIMITED & OTHERS

The Technical Bid Committee's rejection of the appellant's technical bid for alleged non-compliance with Clause 10 of the NIT was arbitrary because the appellant had a duly executed Power of Attorney in the prescribed format and submitted all required documents before the last date; simultaneously, accepting respondent no.8's technical bid despite its failure to submit mandatory audited annual reports at the time of bid submission and permitting post-opening supplementation was illegal and discriminatory. The impugned decision and any consequential actions or agreements are set aside and the employer (BCCL) is directed to initiate a fresh tender process in accordance with law.

Parties
Appellant: Banshidhar Construction Pvt. Ltd.; Respondent: Bharat Coking Coal Limited & Others
Jurisdiction
India
Judgment Date
04 October 2024
Procedural Posture
Civil Appeal No. 11005 of 2024 / Judgment (appeal Allowed)
Outcome
Appeal allowed
Legal Topics
Tender, Technical Bid, Eligibility Criteria, Article 14 Equality and Arbitrariness, Power of Attorney, Audited Annual Reports, Bidding Process, Mega Project, Judicial Review of Contract Awards

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Parties

Banshidhar Construction Pvt. Ltd.

Appellant

Bharat Coking Coal Limited & Others

Respondent

Procedural Posture

Civil Appeal No. 11005 of 2024 / Judgment (appeal Allowed)

  1. 1 Whether rejection of appellant's technical bid for alleged non-compliance with Clause 10 of the NIT was justified
  2. 2 Whether acceptance of respondent no.8's technical bid was permissible despite non-submission of mandatory documents (audited annual reports) at time of bid submission
  3. 3 Whether the Power of Attorney executed and notarised satisfied the NIT requirements as of submission date

Ratio Decidendi

The Technical Bid Committee's rejection of the appellant's technical bid for alleged non-compliance with Clause 10 of the NIT was arbitrary because the appellant had a duly executed Power of Attorney in the prescribed format and submitted all required documents before the last date; simultaneously, accepting respondent no.8's technical bid despite its failure to submit mandatory audited annual reports at the time of bid submission and permitting post-opening supplementation was illegal and discriminatory. The impugned decision and any consequential actions or agreements are set aside and the employer (BCCL) is directed to initiate a fresh tender process in accordance with law.

Court Disposition

Appeal allowed

Orders

  • Impugned decision of BCCL dated 06.05.2024 rejecting the appellant's technical bid set aside
  • Decision declaring Respondent No.8 as successful bidder set aside