RIAZ CONSTRUCTION CO Vs. UNION OF INDIA

JUDGEMENT

(1.) The petitioner is a partnership firm and engaged in executing various kinds of civil works including earth works. The firm is registered as "A" Class Contractor by the State Government; M.E.S. Department; Hindustan Petroleum Corporation and State Bank of India. Respondent No. 1 has sanctioned Rail link between Qazigund to Baramulla within the Kashmir Valley. The execution of the project has been entrusted to respondent No. 2 which is a Government of India undertaking. To start with the execution of the project respondent No. 2 published tender notice No. Ircon/Co/NR.Stn. Yard (E/W) 97061 dated : 20-1-2000. The tender notice provided three packages namely, package A-1, package A-2 and package A-3. these packages are reproduced hereunder :

(2.) As per terms of the tender notice a tenderer had to satisfy the eligibility criterion for technical capability and competence as well as financial capacity and organisational resources. Furthermore, a tenderer has to satisfy the conditions that he was a Kashmiri contractor. Any tender notice received without following documents could be summarily rejected. Those conditions are reproduced below :-

(3.) The petitioner's a technical capability as well as financial capacity and organisational resources as stated in conditions 1.1 and 1.2 were found lacking and as such the firm was not invited for the allotment of the contracts. The firm also filed a civil suit for declaration and mandatory injunction and the plaint was returned for presentation before the competent forum. The petitioner firm had given the tender notice in respect of package A2 and Package A-3. the estimated cost of Package A-2 was Rs. 5.50 crores and the earth works were to be executed at Pampore. As per condition 1.1, the petitioner was required to demonstrate that he had completed at least one work of nature similar to that of this tender costing not less than 1/3rd of the value of the cost of the tender in the preceding three years. In other words, for complying condition of package A-2, the contractor was required to show that it had executed the works to the exeent of Rs. 1.03 crores within three preceding years. With regard to Package A-3 a contractor was required to show that he executed earth works worth Rs. 3.33 crores within last three years.