CONFEDERATION OF NORTHERN ZONE FLOUR MILLING INDUSTRIES ZONE FLOUR MILLING INDUSTRIES Vs. FOOD CORPORATION OF INDIA

JUDGEMENT

(1.) A notice inviting tender issued by the respondent herein, which inter alia was published in The Times of India dated 15-04-2002 and as contained in Annexure - PI to the writ petition is in question in this writ petition.

(2.) By reason of the said notice inviting tender, the respondent-invited offers for sale of 'lustre lost wheat' (2001-02 crop year) available in the Food Corporation of India districts situated in the procuring regions of Punjab, Haryana and Uttar Pradesh. Such FCI Districts in the region of Punjab, Haryana and Uttar Pradesh are specified. The relevant paragraphs of the said notice inviting tenders read thus :- "2. Offers may be made on net weight basis. Taxes will be as applicable. The intending buyers will send their sealed offers to Manager (Sales) FCI, Headquarters, 16-20, Barakhamba Lane, New Delhi. 3. The intending buyers will indicate the quantity and Railway Goodshed in consuming Regions of Gujarat, Maharashtra, West Bengal, Bihar, Jharkhand, Karnataka, Kerala, Tamilnadu, Assam and NEF accompanied with earnest money @ 2% of the value of the quantity intended in the form of DD/pay order favouring 'FCI', payable at New Delhi. Minimum quantity should be 5000 MT or in multiples thereof. The closed bids in the given format will be received between 10.30 A.M. to 2.00 P.M. on all FCI working days upto 18.04.2002. <FRM>JUDGEMENT_321_ILRDLH10_2002Html1.htm</FRM> INCLUDING RAIL FREIGHT UPTO DESTINATION GOODSHED (TAXES AS APPLICABLE WILL BE ADDITIONAL, ON THE SAID RATES QUOTED). 5. The bids will be opened on 19.04.2002 at FCI, Hqrs. at 3.00 P.M. in the presence of the parties who opt to be present. 7. Buyers will have to deposit the balance cost of the stocks offered after adjusting the Earnest Money within seven FCI working days from issue of intimation failing which stocks could be allotted to the next buyer. The indent for rake will be given after deposition of full cost of quantity allotted along with other applicable taxes."

(3.) The contention of the writ petitioners is that the said public notice being not based on intelligible differentia and having no nexus with the objective to be achieved is discriminatory in nature and thus violative of Article 14 of the Constitution of India. The petitioner No. 1 Association is based in North India. The petitioners contend that the offer of the respondent FCI to sell lustre lost wheat available in its procuring regions of Punjab, Haryana and Uttar Pradesh to intending buyers by restricting the supplies only to the consuming regions of Gujarat, Maharashtra, West Bengal, Bihar, Jharkhand, Karnataka, Kerala, Tamil Nadu, Assam and NEF is illegal.