IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE ANTONY DOMINIC FRIDAY, THE 2ND SEPTEMBER 2011 / 11TH BHADRA 1933 WP(C).No. 23370 of 2011(U) -------------------------- PETITIONER(S): --------------- V.N.BEEBALSU VELLEPARAMBIL HOUSE, UDHYATHUMVATHILM PANANGAD POST, ERNAKULAM DISTRICT 682 506. BY ADV. SRI.M.V.BOSE SRI.VINOD MADHAVAN RESPONDENT(S): --------------- THE SENIOR DIVISIONAL COMERCIAL MANAGER SOUTHERN RAILWAY, PALGHAT DIVISION, PALAKKAD 678002. ADV. SRI.C.S.DIAS,SC, RAILWAYS FOR R THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 02/09/2011, A/W. WPC.23497/2011 THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WPC.23370/11 APPENDIX PETITIONER'S EXHIBITS: P1 COPY OF THE TENDER NOTICE DT 28.6.11. P2 COPY OF THE TENDER FORM. RESPONDENT'S EXHIBITS R1(1) COPY OF THE UNIFORM PROCEDURE FOR PARKING CONTRACTS. R1(2) COPY OF THE MINUTES OF THE TENDER COMMITTEE MEETING. R1(3) COPY OF THE WORK ORDER. // True Copy // P.A. To Judge ANTONY DOMINIC, J. ``````````````````````````````````````````````````````````` W.P.(C) Nos.23370 & 23497 of 2011 ``````````````````````````````````````````````````````````` Dated this the 2nd day of September, 2011 J U D G M E N T ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ These writ petitions involve the challenge against the tender awarded by the first respondent for collecting parking fee at the vehicle parking stand at Kasaragod railway station. Ext.P1 in these writ petitions are the tender notice published in the news papers, which show that the upset price is fixed at `32 lakhs. 2. Case of the petitioners is that, when they made enquiries, they were told that if the offer made is less than the upset price, that will not be accepted, and that, therefore they did not submit their offers. However, they came to know that the only offer received by the Railways was from the second respondent, who had offered `15,66,900/-. It is stated that, subsequently, negotiation was held and tender was awarded to the second respondent for an amount of `16,00,500/-. It is challenging this action of the first W.P.(C) Nos.23370&23497/11 : 2 : respondent, these writ petitions are filed. 3. Notice was ordered in W.P.(C) No.23497/2011. Notice was served on the second respondent by special messenger and Standing Counsel for Railways has entered appearance for the first respondent and filed a counter affidavit. In the counter affidavit filed by the first respondent, it is stated that, the only offer received was from the second respondent, which was 351% above the existing rate. It is stated that, therefore, the offer received from the second respondent, which was below the upset price, was accepted on an adhoc basis, based on Ext.R1(1) circular and that contract was awarded to the second respondent for a period of one year and that he will have to pay 1/3rd of `16,00,500/-. 4. On behalf of the second respondent, it is submitted that he has already deposited the amount and commenced the work. 5. In my view, the procedure adopted by the Railways cannot be upheld even if the offer made by the second W.P.(C) Nos.23370&23497/11 : 3 : respondent was 351% above the existing rate. The first respondent, having fixed an upset price in the tender notice, could not have accepted any offer which is less than the said amount, particularly in the absence of any provision in the tender notice for relaxing the conditions specified. On the other hand, for any reason, the upset price was too high or the response received was not satisfactory, instead of accepting the tender on adhoc basis, which is now done, the course open to the first respondent was to cancel the tender notice and go for re-tender, fixing a revised upset price. This having not been done, the contract awarded to the second respondent is liable to be interfered with. 6. However, taking note of the fact that the second respondent has already made deposit and commenced the work, I do not want to set aside the arrangements already made but, however, I direct that the adhoc arrangement will continue for a period of three months and that before the expiry of the said period, fresh tenders will be invited and W.P.(C) Nos.23370&23497/11 : 4 : regular arrangement for the period thereafter will be made. It is made clear that the liability of the second respondent will be to pay only the proportionate amount due for the aforesaid period and the balance amount will be refunded forthwith. Writ petitions are disposed of as above. (ANTONY DOMINIC, JUDGE) aks/02/09