LAXMI TRANSPORT CO Vs. CHIEF OPERATION MANAGER

JUDGEMENT

(1.) This writ petition has been filed for quashing the Condition No. 11 (a) of the General Tender Terms and Conditions, Condition No. 2.17 under the head Guidelines for Tenders of Tender No. UPSO/IOC/PT-BITUMEN/2005-08/1 dated 28.4.2005; and for directing the respondents to accept the tenders of the petitioners in pursuance of the Tender No. UPSO/IOC/PT-BITUMEN/2005-08/1, dated 28.4.2005 without imposing the Condition No. 11 (a) of the General Tender Terms and Conditions, Condition No. III, Clause 1 (a) of Condition N.E. and Condition No. 2.17 under the head Guidelines for Tenders of Tender No. UPSO/IOC/PT-BITUMEN/2005-08/1, dated 28.4.2005.

(2.) The facts and circumstances giving rise to this case are that petitioners had been engaged earlier in contract for transporting the Bitumen Ex. Mathura to various other places. However, on 28.4.2005 the respondents had invited tenders for the transportation of Bitumen changing the terms and conditions of the Tender Agreement drastically.

(3.) Learned Counsel for the petitioner has submitted that the terms of tender have been changed so drastically that it has eliminated small transporters like petitioners in arbitrary and unreasonable manner making complete reservation in favour of big transporters. Tenderer was required to deposit a sum of Rs. 10,000/- as earnest money deposit and Rs. 50,000/- per tender as security deposit earlier, however, it has been enhanced to a sum of Rs. 2 lacs to Rs. 10 lacs. More so, the tenderer has to furnish earnest money of Rs. 1 lac in form of Demand Draft, of which no interest is payable. The successful tenderer has to make a security deposit of minimum Rs. 5 lacs, out of which interest is not payable on Rs. 2.5 lacs. The applicants for filing the tender must have a turnover of Rs. 30 lacs during one in three previous financial years. It has been submitted by the learned Counsel for the petitioner that these conditions have been changed arbitrarily in an unreasonable manner only to eliminate the small transporters like petitioners, and thus, the aforesaid Condition No. 11 (a) of the General Tender Terms and Conditions is liable to be quashed.