Pratap Chandra Sahu vs. State Of Odisha

Facts

The petitioner, Pratap Chandra Sahu, an electrical contractor, filed a writ petition seeking to cancel an e-tender (Bid Identification No. E.E. Koraput (OLIC) 01/2020-21 dated 01.05.2020) issued by the Executive Engineer, Lift Irrigation Division, Koraput. The tender was for "Installation & Energisation of L.I. Projects under Koraput and Malkangiri District" and required a civil license (D or above) Class with an electrical H.T. license or a tie-up. The petitioner was unable to participate in the tender process because, on 19.05.2020, the Superintending Engineer-cum-Electrical Inspector directed him and other electrical contractors to move to Balasore for restoration work following cyclonic storm "Amphan". The petitioner complied with this order, thereby missing the opportunity to participate in the tender which had an online bidding period from 16.05.2020 to 25.05.2020.

Held

The Court held that the e-tender process initiated by the Executive Engineer, Lift Irrigation Division, Koraput, cannot be cancelled at the instance of the petitioner who failed to participate. The Court reasoned that while the State must adopt a transparent and fair method for awarding contracts, as established in cases like *Centre for Public Interest Litigation v. Union of India*, this principle does not extend to cancelling a tender process solely because one eligible applicant could not participate, especially when the tender was issued with opportunities for all eligible persons. The petitioner did not allege any illegality or irregularity in the tender process itself, but rather cited his inability to participate due to a directive to perform restoration work. The Court found that this reason alone was insufficient to justify cancelling the tender and facilitating his participation. The Court concluded that if the petitioner did not choose to participate, the benefit sought could not be extended, and no direction could be issued for cancellation. The writ petition was dismissed.

Key Issues

1. Whether the e-tender process initiated by the Executive Engineer, Lift Irrigation Division, Koraput, vide Bid Identification No. E.E. Koraput (OLIC) 01/2020-21 dated 01.05.2020, can be cancelled at the instance of the petitioner who could not participate in the tender process due to a direction to undertake restoration work following cyclonic storm "Amphan". Petitioner's arguments: The petitioner contended that due to compelling reasons, specifically the order to move to Balasore for restoration work due to cyclone "Amphan", he could not participate in the tender. He also argued that the tender was notified during the lockdown period for COVID-19, and therefore, it should be cancelled and re-notified to allow him and similarly situated persons to participate. The petitioner relied on the Disaster Management Act, 2005, regarding lockdown measures. Revenue/State's arguments: The State contended that the reasons provided by the petitioner for not participating in the tender are not legally sustainable. The e-tender process provided an opportunity for all eligible persons to participate. If the petitioner could not participate for personal reasons, the tender cannot be cancelled at his behest, especially when it would prejudice other applicants who have already applied as per the tender conditions. The State argued there was no valid or justifiable reason to cancel the tender.