G RAMBABU Vs. ZONAL MANAGER F C I

JUDGEMENT

(1.) ORDER :- This judgement will dispose of all the four writ petitions since they are interconnected.

(2.) In this batch of four writ petitions two Societies South Central Railway Labour Contract Co-operative Society Limited, Rajahmundry (hereinafter called as SCRLC Co-operative Society) and Food Corporation of India Jattu Sangham, Dowleswaram, East Godavari District (hereinafter called as FCI Jattu Sangham) are fighting for securing the contract relating to loading and unloading/handling and transporting of foodgrains from the godown belonging to the Food Corporation of India (hereinafter called as FCI) at Dhowleswaram. The godown is provided with railway siding facilities. On 19-6-86 the publication regarding tenders was made. The last date for opening of the tenders was 11-7-86 and it was subsequently extended to 25-8-86. The period of contract was for two years from 9-9-1986. In response to the above invitation seven tenders were received by the F.C.I. The lowest tender was that of Central Ware Housing Corporation Hamat's Union which was later withdrawn by it. Out of remaining six. the lowest tender was that of the SCRLC Co-operative Society. On 23-8-86 the Senior Regional Manager, FCI sent a telegram to the SCRLC Society informing whether it was willing to remit the 50 per cent security deposit before commencement of the work. The SCRLC Society sent a reply on 25-8-86 expressing its willingness to remit the entire security deposit of Rs. 62,500/- before the commencement of the work and in fact on 4-9-86 it had deposited the amount by way of term deposit on behalf of the Senior Regional Manager and intimated the same accordingly. Without accepting any of the tenders, the Senior Regional Manager FCI issued another notification on 5-12-86 calling for fresh tenders in respect of the same work; the last date for receipt of tenders was notified as 24-12-1986. In response to this notification six tenders were received. When the tenders were opened on 24-12-1986 at 3 P.M., the tender submitted by the FCI Jattu Sangham was found to be the lowest. Even then the Senior Regional Manager did not award the contract to any one.

(3.) W.P. 14316/86 was filed by the SCRLC Co-operative Society contending that as the tender submitted by it was the lowest, it is entitled to be entrusted with the contract: the action of the Senior Regional Manager in extending the last date for receipt of the tenders from 25-8-86 to 9-9-1986 was illegal and uncalled for. When they have deposited the entire security deposit amount there was no valid reason for not granting the contract in their favour. W.P. 12241/87 was filed by G. Ram Babu President of the FCI Jattu Sangham contending that as the Sangam was the lowest tenderer in response to the second notification made on 22-11-86 its tender should be accepted. He also alleged that with a mala fide intention the Senior Regional Manager FCI was not accepting the lowest tender. In W.P. 14316/86 SCRLC Co-operative Society sought for an interim order directing the Senior Regional Manager, FCI to permit the Society to take up the work but this Court did not grant such an order. When that writ petition was filed the second notification inviting tenders was not issued. Soon after the second notification was issued the SCRLC Co-operative Society filed W.P. 17150/86 for a Mandamus directing the FCI to appoint the petitioner-Society as the Contractor. The Society also prayed for an interim order for stay of all further proceedings pursuant to the second notification. This Court granted an interim order staying the finalisation of the tenders received pursuant to the second notification. The SCRLC Co-operative Society filed another interlocutory application WPMP No. 13998/87 praying that they may be permitted to float an ad hoc tender for execution of the work. By an order dt. 14-8-87, this Court directed the FCI to give ad hoc tender in favour of the SCRLC. Co-operative Society for a period of three months. Thereafter the FCI Jattu Sangarn filed another writ petition W.P. 14272/87 contending that by playing fraud on the Court SCRLC Co-operative Society obtained the interlocutory under regarding floating of ad hoc tender by making a false representation that previously SCRLC Co-operative Society was working as transport contractor of the FCI when in fact for the first time after the godown was constructed tenders were called. The FCI Jattu Sangham, therefore, sought a writ of Mandamus directing the Senior Regional Manager FCI to cancel the ad hoc tender.