LAWS(MAD)-2012-12-1

PREMIER GARMENT PROCESSING Vs. DIVISIONAL RAILWAY MANAGER

Decided On December 04, 2012
Premier Garment Processing Appellant
V/S
DIVISIONAL RAILWAY MANAGER Respondents

JUDGEMENT

(1.) Petitioner/appellant is a company dealing with the business of washing the soiled linen blankets and other clothes and they were awarded contracts for supply of bed rolls to the passengers in various trains by the Railways. As per the contracts, the petitioner has to supply bed rolls to all the passengers traveling in A/c 2 tier and A/c 3 tier coaches for a sum of Rs.19.50 towards cost of one bed roll. According to the Railways, the total requirement of bed rolls per day is approximately 12,000 and the contract of the petitioner for the following 13 trains accounts for approximately 6800 bed rolls per day, which is nearly 50% of the quantity: <FRM>JUDGEMENT_3236_TLMAD0_2012_1.html</FRM>

(2.) According to the petitioner, since in the tender form, the first respondent had made it very clear that the petitioner has to supply the bed rolls agreeing to the specifications and should also have a washing unit/infrastructure, automated mechanized laundry which are subject to the inspection by the railway officials, he had invested more than a sum of Rs.4 crores for installation of the imported modern high quality automated mechanized laundry machine and apart from that, he had also invested huge sum in purchasing bedrolls to suit the specifications of the respondents and he had also imported machineries from U.S.A. and Europe countries besides recruiting about 250 persons for the purpose of honouring the contract and provided uniform for all these staff members by spending huge amounts.

(3.) While so, pursuant to the budget speech made by the Honourable Minister for Railways on the floor of Parliament and pursuant to the decision of the Railway Board, communicated to all the General Managers, by the proceeding in No.2009/M(C)/165/6, dated 17.12.2009, the respondents have published a tender notification dated 19.5.2010, calling for tenders for 'Turnkey contract for the work of collection of soiled linen from AC coaches, washing in mechanized laundry, supply and loading of washed linen into AC coaches at MAS (Chennai Central) and MS (Chennai Egmore) including supply and installation of plant/equipment/related infrastructure and operation for 10 years period at Basin Bridge Coaching Depot (BBQ) and distribution of linen in nominated trains starting from Chennai Central (MAS)/Chennai Egmore (MS) stations of Chennai Division.'