PUNJAB CONSTRUCTION COMPANY Vs. STATE OF PUNJAB

JUDGEMENT

(1.) The petitioner is a partnership firm carrying on a business of civil contractors, builders and suppliers. The case set up by it is that respondent No.3, by way of e-tender, issued notice inviting tender for the work relating to Majitha Division, UBDC, Amritsar in respect of Irrigation Department, Punjab for earth work evacuation i.e. burm cutting and silt clearance from the canals/distry. Respondent No.4 called for nine tenders in which the petitioner participated by depositing earnest money and submitted its bid online as per the e-tender process. The bid of the petitioner firm was duly registered and was given the tender after e-payment. It is alleged that the petitioner firm had duly submitted his bid below the CSR common schedule of rates 2010 but to their surprise, their bid was not even considered by the respondents in view of instructions dated 11.7.2011 issued vide notification of the Government of Punjab, Department of Cooperation (Cooperation I Branch), which provided certain concessions to the Cooperative Labour and Construction Society for a further period upto 14.8.2014. According to the instructions dated 11.7.2011 all unskilled works upto any value and skilled works upto limit of Rs. 30 lacs for each works of all the Superintending Engineers of the branches of PWD shall be allotted to these societies only by way of tenders within the common schedules of rates fixed by the Department and upto the capacity these societies can get the work executed. In case these societies fails to tender within the ceiling rates so fixed, the work may be executed by inviting open tenders from both the contractors and the societies. The works upto Rs. 30 lacs for which tenders were called by the process of e-tendering, in these tenders only Cooperative Labour and Construction Societies was allowed to compete.

(2.) The only submission made by counsel for the petitioner is that the preference given to the Cooperative Labour and Construction Societies is a monopolistic trait which violates the freedom of trade and commerce guaranteed under Article 19(1)(g) of the Constitution of India.

(3.) After the issuance of notice, separate replies have been filed on behalf of respondent Nos.1, 3 & 4, respondent No.2 and respondents No.5 & 6. Their common case is that certain concessions have been provided to Cooperative Labour and Construction Societies, registered in the Sate of Punjab since, 1957 by way of different notifications issued from time to time.