TEXMACO LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) By means of this writ petition, petitioner is challenging the action of respondent no.2 in awarding contract no.CON/T/ICB/310 dated 29/1/2001 for manufacture of 1320 wagons to M/s.Hindustan Engineering & Industries Ltd.(M/s.H.E.I.)-respondent no.3. C.M.5256/2001 is filed seeking ad interim stay of the implementation of notification of award dated 1/5/2001 and for maintaining status quo orders so far as further action pursuant to the contract dated 29/1/2001 is concerned.

(2.) Although at the time of commencement of arguments on this application, parties submitted that only this application is to be decided, in fact, arguments advanced by parties covered the entire gamut of dispute. Notwithstanding, by this order we propose to dispose of C.M. only. It may be mentioned at this stage along with this writ petition, CWP 2106/2001 & CWP 2098/2001 are also listed. Challenge in those petitions is also to the same award letter dated 1/5/2001 and CMs. for Interim stay are also filed. Those matters are also heard along with this matter. Counsel for the petitioner in all the three petitions as well as counsel for respondent nos.2 & 3 were heard at length. After hearing all these parties, we are of the view that petitioners have not been able to make out any case for grant of Interim stay. This view we support by reasoning contained hereinafter.

(3.) Respondent no.2-Contalner Corporation of India Ltd. (in short "CONCOR") a Government of India Undertaking has been constituted for handling of the complex work relating to the import and export of the cargo through the containers and managing the dry ports/handling container depots/container freight stations and inland transportation of containers through out India. In August, 1994, International Bank of Reconstruction and Development (IBRD) granted a loan of US$ 94 million for the Container Transport Logistics Project. Approximately 95% of this loan was earmarked for acquisition of new container flat wagons equipped with airbrakes and high speed bogies capable of running at 100 km. on the existing Indian Railway tracks. These wagons are therefore not ordinary railway wagons. The method of procurement of these wagons is also totally different from that adopted by the Indian Railways. This methodology is explained in the counter-affidavit which need not be dilated here. Suffice it to state that procurement of flat wagons by CONCOR is against a global tender issued as per the guide-lines of the funding agency namely the World Bank. The initial tender for purchase of 1500 high speed container flat wagons was issued by the CONCOR in April, 1994. The CONCOR did not have happy experience in obtaining wagons pursuant to that tender. Various tenders have been floated thereafter. It Is also not necessary to give details thereof for the purpose of deciding this application. What is relevant to mention here is that pursuant to first tender, contract was awarded to Hindustan Development Corporation Ltd. (in short "HDC") which did not yield desired results. Thereafter, another tender was issued in January, 1998 and this time, contract was awarded to M/ s.Cimmco Birla Ltd. However. M/s. Cimmco Birla Ltd. could supply 180 wagons out of 1500 wagons. The present tender is for supply of 1320 wagons after terminating the contract of M/s. Clmmco Birla Ltd. and the present tender was invited at the cost and risk of M/s. Clmmco Biria Ltd. The present tender was issued in January, 2001. The commencement of sale of bidding documents was 29/01/2001 and the last date for sale of bidding documents was 12/03/2001. The last date for receipt of bids was 15/03/2001 by 11.00 hours (Indian Standard Time) and bids were to be opened on that very date at 11.00 hours. It Is stated in the counter-affidavit that:-