LAWS(KER)-2023-2-230

SITCO ASSOCIATES Vs. STATE OF KERALA

Decided On February 01, 2023
Sitco Associates Appellant
V/S
STATE OF KERALA Respondents

JUDGEMENT

(1.) The petitioner submitted a tender pursuant to an e-tender notification issued by the 2ndrespondent High Power Committee for Implementation of Sabarimala Master Plan, for the construction of a straight walkway including side drain and utility ducts along the trekking path of Chandranandan Road, for a length of 800 meters, in Sabarimala. On 31/1/2018, when the bids were opened, the petitioner was the lowest bidder, who quoted 7.86% below the sanctioned estimate rate, which works out to contract PAC of Rs.3,43,79,519.00 against the sanctioned estimate PAC of Rs.3,73,12,263.00. Accordingly, the petitioner was issued with Ext.P1 selection notice dtd. 25/2/2018 of the 2ndrespondent, awarding the contract. By Ext.P1 selection notice, the petitioner was directed to produce a performance guarantee (security deposit) of Rs.17,19,000.00 along with a micro-level PERT Chart indicating the milestones of various activities. As per Ext.P1, the petitioner shall complete the work in all respects, on or before 30/9/2018, as per the instructions of the Chief Engineer (General), Travancore Devaswom Board, the Executive Engineer, Sabarimala Development Project and the Assistant Engineer, Sabarimala Master Plan. In terms of Ext.P1 selection notice, the petitioner executed Ext.P2 agreement dtd. 31/3/2018 with the 2ndrespondent High Power Committee. The document marked as Ext.P3 is the schedule of items to Ext.P2 agreement.

(2.) The petitioner has filed this writ petition, under Article 226 of the Constitution of India, seeking a writ of certiorari to quash Ext.P16 proceedings dtd. 8/2/2022 of the 2nd respondent High Power Committee, whereby the contract awarded to the petitioner stands terminated for re-arranging the work at the risk and cost of the petitioner; and Ext.P17 proceedings dtd. 23/2/2022 of the 2ndrespondent High Power Committee, whereby it was decided to forfeit the security amount of Rs.17,19,000.00 plus interest accrued till date and to credit that amount in the account of the Member Secretary of the High Power Committee. The further relief sought for is a writ of mandamus commanding the respondents to relieve the petitioner from Ext.P2 agreement, by executing a closure agreement, on returning the Earnest Money Deposit of Rs.1,00,000.00 and security amount of Rs.17,19,000.00, forthwith.

(3.) On 14/3/2022, when this writ petition came up for admission, the learned Standing Counsel for the 2ndrespondent High Power Committee and also the learned Standing Counsel for the Travancore Devaswom Board were directed to get instructions.