P.Shyam Raju vs. The Kerala Minerals And Metals LTD.
Held
The High Court upheld the appellant's disqualification, ruling that tender conditions, including the deadline for submitting a solvency certificate, cannot be altered unless they are per se illegal. Since the certificate was submitted beyond the stipulated period, the rejection of the bid was deemed valid, and the court found no reason to interfere with the decision.
Facts
The appellant challenged the rejection of his tender bid by Kerala Minerals and Metals Limited for belated submission of a solvency certificate. He argued that his bid was lower than the sole remaining bidder, and accepting the higher single bid violated CVC guidelines and would cause significant financial loss to the respondent company. The appellant had initially submitted an insufficient solvency certificate and a corrected one after the deadline.
Key Issues
The key legal issues were whether a tender bid could be rejected for the belated submission of a solvency certificate, and if CVC guidelines regarding single tenders and potential financial loss should compel a re-tender despite a technical disqualification.
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IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE THE CHIEF JUSTICE MR.S.MANIKUMAR & THE HONOURABLE MR. JUSTICE SHAJI P.CHALY TUESDAY, THE 8TH DAY OF NOVEMBER 2022 / 17TH KARTHIKA, 1944 WA NO. 1380 OF 2022 AGAINST THE JUDGMENT WP(C) 28351/2022 OF HIGH COURT OF KERALA APPELLANT/S: P.SHYAM RAJU, AGED 58 YEARS S/O PADMANABHAN, PROPRIETOR, SKILDERZ DEVELOPERS, RESIDING AT ARJUNAM 27/355, THIRUVAMPADY.P.O, ALAPPUZHA, PIN-688002. BY ADVS. K.JAJU BABU (SR.)(K/116/1981) K.V.SREEVINAYAKAN K.M.MUHAMMED HUSSAIN(K/147/2011) COLIN ALEX RESPONDENT/S: 1 KERALA MINERALS AND METALS LIMITED SANKARAMANGALAM, CHAVARA, KOLLAM, KERALA-691583,REPRESENTED BY ITS MANAGING DIRECTOR. 2 THE MANAGING DIRECTOR, KERALA MINERAL AND METALS LTD, SANKARAMANGALAM, CHAVARA, KOLLAM, KERALA-691583. 3 DEEPTHI TRANSPORT SERVICES, IRE ROAD, VADAKADAM BUILDING, KARITHURA, CHAVARA.P.O, KOLLAM, PIN-691583. BY ADVS. K. ANAND (SR.) LATHA ANAND NANDAGOPAL NAMBIAR V.V CHITRA JOHNSON(K/000924/2018) SMITHA (EZHUPUNNA)(K/223/2015) M.N.RADHAKRISHNA MENON S.VISHNU (ARIKKATTIL) THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 08.11.2022, ALONG WITH WA.1396/2022, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
W
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