LAWS(APH)-2021-8-13

ARUNACHALAM HOTELS PVT. LTD. Vs. TIRUMALA TIRUPATHI DEVASTANAMS

Decided On August 13, 2021
Arunachalam Hotels Pvt. Ltd. Appellant
V/S
Tirumala Tirupathi Devastanams Respondents

JUDGEMENT

(1.) The respondent had floated the tender for grant of licence/leasehold rights for running seven canteens at Tirumala Hills bearing File No.TTD 81021(31)/3/2021-REV TML-TTD dated 08.07.2021. One of the canteens was 'Sapthagiri Big canteen'. The petitioner had participated in the tender for this canteen and offered a sum of Rs.8,09,100/- as the annual licence fee. This offer was the highest bid received for the said tender. However, the respondent instead of calling the petitioner to either award the tender or for negotiations, has chosen to issue re-notification/tender in File No.TTD 81021(31)/3/2021- REV TML-TTD dated 08.07.2021, which was published in the newspaper on 22.07.2021 calling for bids for the very same Sapthagiri Big canteen and two other canteens.

(2.) Aggrieved by the said re-notification, the petitioner has now approached this Court.

(3.) Sri V.R.Machavaram, learned counsel for the petitioner would submit that the respondent could not have cancelled the earlier tender and issued re-notification when the petitioner was willing to negotiate with the respondent. Further, the ostensible reason given by the respondent that the bid was lower than the earlier licence fee, could not stand in view of the conduct of the respondent in various other cases where bids offering lower licence fee than the licence fee paid in the earlier years had been accepted by the respondent. He points out to the cases where the tender for the leasehold rights of the canteens on an annual rent of Rs.12.5 lakhs was accepted when the earlier licence of Rs.17.5 lakhs. Similarly in the case Sri Venkateswara canteen, offer of Rs.13 lakhs was accepted when the earlier licence was Rs.23 lakhs and in the case of M/s.Shri Devi Caterers, offer was Rs.12 lakhs was accepted when the earlier licence fee of Rs.15.5 lakhs. He submits that even in the present tender notification, an offer of Rs.10,36,000/- was accepted against the earlier fee of Rs.12,06,000/- in the case of Padmavathi Big canteen.