IN THE HIGH COURT OF HIMACHAL PRADESH, SHIMLA. C.W.P. No. 4640 of 2011. Decided on: 4th August, 2011. M/s. Kawasaki Advertisers and Representatives. ….. Petitioner. -Versus- State of Himachal Pradesh and another. …… Respondents. Coram: The Hon’ble Mr. Justice Kurian Joseph, Chief Justice. The Hon’ble Mr. Justice Rajiv Sharma, Judge. For the petitioner : Mr. Janinder Mittal, Advocate vice Mr. Neeraj Gupta, Advocate. For the respondents. : Mr. R.K. Bawa, Advocate General with Mr. Ankush Dass Sood, Addl. A.G. and Mr. J.K. Verma, Dy. A.G. ------------------------------------------------------------------------------------------ Justice Rajiv Sharma, J. (Oral): Respondent-Department has issued tender notice, which was published in Hindustan Times and Divya Himachal on 22.04.2011 and also in Giriraj Weekly on 23.04.2011, whereby tenders were called for quoting rates for installation of hoardings for the financial years 2011-2012 and 2012-2013. Seven parties purchased the tender documents. Tenders were opened by the Departmental Purchase Committee on 07.05.2011 at 3:00 p.m.. It is pertinent to mention that only two firms, namely, petitioner- M/s. Kawasaki Advertisers and M/s. Ajit Graphics has participated. However, the parties were not apprised of the out- 2 come of the proceedings held on 07.05.2011. The representatives of the petitioner concern visited the office of respondent No. 2 to make enquiries. They were apprised that the tender stood cancelled. The earnest money of the parties was also returned on 31.05.2011. Thereafter, fresh advertisement was issued by respondent No. 2 vide Annexure P-7. Petitioner obtained the tender documents and also participated in the tender process. According to the petitioner, the earlier tender process could not be cancelled, since the financial bids were already opened. It is in these circumstances that the present petition has been filed by the petitioner concerned. 2. Notice was issued to the respondents on 18th June, 2011 and the matter was directed to be listed on 22nd June, 2011. The Court directed not to open the financial bids till 22nd June, 2011. Thereafter, the petitioner was permitted to implead two other tenderers, namely, M/s. Ajeet Graphics, Khalsa Niwas, Ram Bazar, Shimla-171001 (HP), through its authorized representative and M/s. Vigyapna Enterprises, Below Directorate of Health, SDA Complex, Kasumpti, Shimla-171009 (HP), through its authorized representative. Petitioner moved an application bearing C.M.P. No. 7577 of 2011 for impleadment of M/s. Ajeet Graphics, Khalsa Niwas, Ram Bazar, Shimla-171001 (HP), through its authorized representative and M/s. Vigyapna Enterprises, Below Directorate of Health, SDA Complex, Kasumpti, Shimla-171009 (HP), through its authorized representative. Notices were issued by this Court in C.M.P. No. 7577 of 2011 on 28th July, 2011. These two respondents were also directed to be present before the Court on 1st August, 2011. Thereafter, the matter was listed on 3rd August, 3 2011 to see whether the petitioner and private respondents could settle the matter amicably out-side the Court or not. The records were also produced by respondents No. 1 and 2 and the Joint Director was also present to assist the Court. 3. What emerges from the records, is that the Departmental Purchase Committee in its meeting held on 7th May, 2011 has opened the financial bids. The rates quoted by the petitioner and M/s. Ajit Graphics have been given in tabular form. It will be appropriate to reproduce the final decision taken by the Departmental Purchase Committee in its meeting held on 7th May, 2011: “…Only two firms had participated in the bid for Hoardings, while minimum three firms are required for comparison of rates under Financial Rules. Hence, members/Purchase Committee recommended to send the matter to Administrative Department, for the next higher authority their approval or to go for re-tender.” 4. It is evident from the proceedings that the Departmental Purchase Committee has recommended to send the matter to Administrative Department/ higher authority to seek its approval or to go for re-tender. However, surprisingly, the matter has been put up before the respondent No. 2. It is evident from Note-135 that instead of seeking the approval of the proceedings dated 7th May, 2011, whereby the financial bids of the petitioner and M/s. Ajeet Graphics were opened, the matter has been put up before him for seeking his approval to initiate the process of re- tendering. He accorded the approval. The Court has put a specific query to Joint Director, who was also member of the committee 4 whether it was intended to refer the matter to the Director or Secretary, Information and Public Relations, Government of Himachal Pradesh. He fairly submitted that what was intended by the Committee, was that the matter should go to the higher authority, i.e., Secretary, Information and Public Relations, Government of Himachal Pradesh to take a decision whether to approve the already opened bids or to call for fresh tenders. 5. We are also of the view that the matter should have gone to the Secretary (Information and Public Relations), Government of Himachal Pradesh to take a final decision on the deliberations of the Departmental Purchase Committee’s meeting held on 7th May, 2011. 6. Mr. Ankush Dass Sood, learned Additional Advocate General has also argued that since only two parties have participated in the tender process, as per Rule 103 of the H.P. Financial Rules, 2009, the tenders have rightly been cancelled. There is no merit in his contention, since despite two parties participating in the tender process, their financial bids had been opened and made public. In case the bids were to be cancelled, the financial bids should not have been opened at all. There is specific deliberation on the rates quoted by the parties, as is evident from the records of the proceedings of the Departmental Purchase Committee held on 7th May, 2011 produced before us by the State. 7. Accordingly, the petition is disposed of with a direction to the Secretary, Information and Public Relations, Government of Himachal Pradesh to take a final decision whether to approve the financial bids opened on 7th May, 2011 or to re-tender within a week. The parties are directed to appear before the Secretary 5 Information and Public Relations, Government of Himachal Pradesh on 8th August, 2011 at 11:00 a.m. to project their respective cases before him. He shall pass a speaking/detailed order. The pending application(s), if any, also stands disposed of. A copy of this judgment, duly authenticated by the Court Master be supplied to the parties within 24 hours. (Justice Kurian Joseph), Chief Justice. (Justice Rajiv Sharma), Judge. August 04, 2010 (bhupender)