THEON PHARMACEUTICALS LTD. Vs. DG, ESIC AND ORS.

JUDGEMENT

(1.) THE present Writ Petition challenges the award of Employees State Insurance Corporation ("ESIC") Rate Contract No. 138 for Product Code No. 534 by the first two Respondents to the fourth Respondent, despite the Petitioner allegedly being the lowest bidder. A direction to quash and set aside the said decision and a direction to the Respondents to accept the Petitioner's lowest bid, and cancel the fourth Respondent's bid in respect of supply of Drug Product Code No. 534 of ESIC is sought.

(2.) THE Petitioner is a public limited company incorporated under the Companies Act, 1956. It was first granted permission for manufacturing and marketing fixed dose composition of the drug in question by the Drugs Controller General of India ("DCGI"), the third Respondent herein, on 15.3.2010. Pursuant to certain objections raised by the fourth Respondent, this permission was amended on 30.7.2010.

(3.) CONSEQUENTLY , the Petitioner filed RTI Applications on 07.12.2013 and 17.01.2014 with the ESIC seeking certain information with regard to the allotment of tender for the subject drug. Based on the information received upon filing of the RTI Applications, the Petitioner states that in the meeting in respect of Rate Contract No. 138 held on 5/6.2.2013, the Committee had specifically recommended that the drug in question quoted by the Petitioner may be considered provisionally eligible subject to reply from DCGI. Thereafter, by Minutes of Meeting for finalization of Rate Contract No. 138 held on 24.7.2013, the Committee after taking into consideration the concerned facts and opinion of the representative of the DCGI recommended that both the Petitioner and fourth Respondent may be considered as eligible. However, after clearance of participation of the Petitioner for the drug in question, the tender was granted to the fourth Respondent.