CORE PROJECTS AND TECHNOLOGIES LTD. Vs. STATE OF BIHAR THROUGH ITS CHIEF SECRETARY, GOVERNMENT OF BIHAR, PATNA

JUDGEMENT

(1.) THE origin of the present dispute is a short tender notice issued by respondent No. 4 i.e. Bihar State Electronics Development Corporation Ltd. (hereinafter referred to as Beltron). The objective behind the notice inviting tender was for providing IT infrastructure including establishment of Computer Lab, Hardware, Networking Software, etc. coupled with Computer Education Services in 600. Schools across rural and urban areas of the State of Bihar. The project was to be executed on the basis of BUILD OWN OPERATE and TRANSFER (BOOT) basis. The short tender notice with requisite details is Annexure -2 to the writ application.

(2.) THE reason for filing the present writ application by the petitioner is the rejection of their technical bid by the respondents and the subsequent award of the contract in favour of respondent no. 5 namely, M/s Educomp Solution Ltd. The rejection order/reason is stated to be Annexure -11 to the writ application. The petitioner wants a declaration that the action of respondent No. 4 i.e. Beltron in disqualifying the petitioner company on spacious and trivial ground is illegal, discriminatory and violative of the fundamental rights of the company. They also want direction upon the concerned respondents to issue a fresh notice inviting tender by annulling the earlier decision. Challenge to the rejection of the technical bid of the petitioner by the respondent is primarily on two grounds - (i) that the Company alongwith its subsidiary has all the requisite qualification and experience and the reason stated by the respondent for rejection of the technical bid that the Core Education and Consulting Solution Incorporate having the requisite experience certificate is not the experience certificate of CORE Projects and Technologies Ltd i.e. the present petitioner is misplaced. Treating Core Education and Consulting Solution to be a different entity and experience gained by them not being of any value to the present petitioner seems to be doing violation not only to the terms and conditions of the notice inviting tender but even the requisite provisions under the Indian Companies Act. (ii) the other ground of challenge is the extension of time for opening the bids by the respondent which, according to the petitioner, has created an unfair situation for him. In addition, the extension of time, according to the petitioner, was to accommodate respondent No. 5 who is the final beneficiary of such extension.

(3.) BEFORE the Court embarks upon tne exercise of dealing with nitty -gritty of various submissions made on behalf of the petitioner, it would like to reproduce Clause 17 of the notice inviting tender which deals with eligibility criteria. 17. Eligibility Criteria. -The bidder shall meet the following criteria for eligibility: - (a) The bid shall be submitted by an individual organization only. Consortium is not allowed. For supply of Hardware, peripherals and other equipments/ materials the education service provider may have a back end tie -up with the manufacturer/supplier, however for the bidder will be responsible in totality. (b) The bidder should be an Information Technology & Communication Company & specializing in IT learning services with adequate experience of executing similar projects for at least 300 schools. School should be acknowledged by Government as of 31st Dec, 2009. (c) The bidder should have an average annual sales turnover of INR 100 Crores and above in the last three financial years. (d) The Net Worth of the bidder should be positive. The bidder is required to submit its audited balance sheet or copy of the annual report duly signed in original by the authorized signatory. (e) The bidder must have experience of completed/executing dually supported by Acceptance Test document at least any one of the following: - 1. Project of comprising of hardware, system software, trainer and learning services of Rs. 20 Crores. 2. Project of comprising of hardware, system software, trainer and learning services of Rs. 10 Crores. 3. Project of comprising of hardware, system software, trainer and learning services of Rs. 7 Crores. (f) References (contact details, customer completion certificate, customer satisfaction certificates etc.) for these projects shall be provided. Projects executed for bidder 's own, bidder 'sgroup of companies or bidder 'sJV companies shall not be considered. (g) Qualification of Hardware (Server/Desktop) supplier. -Should have ISO 9001 certification, as OEM with experience of supply & multilocational installation at minimum of 400 different sites in the State of Bihar. (h) The bidder must have had at least 100 employees on roll over each of the last three years (as on December 31, 2009, 2008 & 2007). (i) The bidder shall have Quality certification from an accredited and internationally reputed/renowned firm (viz.ISO 9001 and ISO 14000). (j) The bidder should have office in Bihar. In case bidder has no presence in Bihar, bidder shall furnish an undertaking that an office shall be opened in Bihar, with sufficient personnel and inventory of spares within a month of selection as Successful Bidder. (k) The bidder shall have bank 'scertificate of solvency. (l) The bidder must have company registration certificate, registration under Labour Laws, Contract Act, valid sales tax registration certificate and valid service tax registration certificate.