Cancer Aid and Research Foundation v. South Delhi Municipal Corporation

Delhi High Court · 16 Oct 2019 · 2019:DHC:7480-DB
G. S. Sistani; Anup Jai Rambhambhani
W.P.(C) No. 10217/2019 & APPL 4263/2019
2019:DHC:7480-DB
administrative appeal_allowed Significant

AI Summary

The Delhi High Court held that a Rs. 5 crore turnover requirement in a municipal tender was arbitrary and directed reconsideration of the condition with a stay on the tender process.

Full Text
Translation output
o S~26&27(common order) -txt-t ut HIGH COURT OF DELHI
W.p.rn 10q'i7/2ni9&rivt APPL 4'i263/2019(forstay)
CANCERAID ANDRESEARCH Petitioners FOUDATION AND ORS. -Petitioners
Through: Mr.K.B.Upadhyay& Mr.S.N.Tripathi,Advocates.
VERSUS
SOUTHDELHIMUNICIPALCORPORATION Respondent
Through ā–  Mr.Dhanesh Relan,Standing
Counselfor SDMC with Mr.Paritosh Dhawan,Advocate.
MP p rri inq66/201P ^ CM APPI 4S7,77/?.ni9(forstay)
CYAN GANGA AND ANR.- Petitioners
Through: Mr.K.B.Upadhyay& Mr.S.N.Tripathi,Advocates.
VERSUS
SOUTHDELHIMUNICIPALCORPORATION ....Respondent
Through' Mr.DhaneshRelan,Standing Counselfor SDMC with Mr.Paritosh
Dhawan,Advocate.
CORAM wnN'RT E MR.JUSTICE G.S.SISTANI
HON'BLEMR.JUSTICE ANUPJAIRAMBHAMBHANI O ORDER
16.10.2019 The petitioners are aggrieved by the tender condition contained in
Clause 30 of'the general terms and conditions of Expression ofInterest
(EOT)No.D-OOl/NIT/SDMC/MDM/Edu.HQ/2019dated27.09.2019issued by the South Delhi Municipal Corporation/respondent inviting tender bids
2019:DHC:7480-DB for providing mid-day-mealsto approximately2,60,000 ehildren@Rs.4.35 per day per child.
Mr.Upadhyaya,learned counselforthe petitionersubmitsthattender clause/condition No.30is arbitrary and unduly harsh which is evidentfrom thefactthatnotasingle personhas appliedforthetendertill date.Clause30 is extracted hereinunder:
"Voluntary organizations should have average annual turnover ofRs.05 crorefor the last three financial years preceding the date ofbidding.
Q strongreliance is placedonadecision dated 31.05.2018renderedby aCoordinateBenchofthiscourtinAUiedIntegratedSociety(Regd.)& Ors. vs. TheState(NCTofDelhi)in W.P.(C)No.5912/2018,particularly para
26,which wereproduce herein under:
"26. Given these considerations and the fact that the
MCD'spattern as it were has been almost adopted wholly uncritically with afurther added rationale that the NGO concerned should have a capability of sustaining itself without paymentfor four months, in the opinion of the
Court, was wholly irrational and arbitrary. The emphasis and insistence in this regard by the GovernmentofNCTof
V—X, Delhi that the concerned NGO should be able to sustain
^ fourmonthsitselfintheopinionofthe Courtisbaselessand unreasonable. 4 deeper analysis wouldshow that what the rmvprnment of nf Delhi is saying that its existing ndminhtrative capability is so inefficient that the bills__pf pvp.rv NGO would take atleast four months for processing
..uinU ,-c fhp reason whv the eligMit}LmiMmmednoM factored in is also an extraneous_md_^arL^^]Nir^ u, ā€ž..n.nnahk fact.Infact, it amounts to placing a premium on itsown inefficiencyin theguise ofpragmatism."
(Emphasisin original)
Mr.Relan has entered appearance on advance copy.Hesubmitsthat thelastdateofsubmissionoftenderis 17.10.2019.
TakingintoconsiderationthedecisionrenderedbythiscourtinAllied
IntegratedSociety(supra)andthefactthattilldate,notasinglepersonhas applied for the tender, we direct the respondent to reconsider tender conditionNo.30inlightoftheabovestateddecision. Wealsodirectthattill
O afinaldecisionwithregardtotenderconditionNo.30istaken,furthersteps pursuantto thetender shallremain stayed.We clarify thatin case tender condition No.30is modified,dueand extensive publicity shall be given to themodifiedtender,sothatthereiswiderparticipationinthetender.
Withthesedirections,boththewritpetitionsaredisposedof.
Pendingapplicationsalsostanddisposedofinviewoftheabove.
Order dasti.
G.S.SISTANI,J anupjairam bhambhani,j OCTOBER 16,2019
JUDGMENT