- (1.) This writ petition has been filed for setting aside the decision conveyed to the petitioner by the Executive Engineer, Electricity Store Division, Varanasi by his letter dated 31.3.2006 for cancelling the auction and for a direction upon the respondents to give effect to the sale order on the basis of the highest bid offered by the petitioner in the auction held on 17.3.2006 and for certain other consequential reliefs.
(2.) An auction notice dated 20.2.2006 was published in a number of national newspapers announcing that auction would be held on 8.3.2006 at the Electricity Store Centre (Raja Talab), Purvanchal Vidyut Vitran Nigam Limited Varanasi for "Uneconomical Damaged Power Transformers" and "Scrap Steel, Copper, Aluminium, Wires, Cables, Core Stampings, Empty T/F Tanks, Burnt T/F Oil etc." It was further mentioned that the registration amount in respect of the various items indicated in the notice should also be deposited by Bank Draft favouring "Executive Engineer, Electricity Store Division, Varanasi" along with the entry fee of Rs. 250/-. The registration was required to be done between 9.00 AM and 10.00 AM and the auction was to take place immediately thereafter subject to the terms and conditions to be announced before the commencement of the auction. The date of auction was subsequently changed to 17.3.2006 and this fact was also published in the newspapers.
(3.) The Auction Committee which consisted of Deputy CAO, Varanasi Zone, Deputy General Manager (Planning), Deputy General Manager (Stores) and Four Executive Engineers fixed the reserve prices in respect of the various items. The registration of the various firms by deposit of the registration fee of Rs. 250/- and the earnest money by Bank Draft started from 9.00 AM on 17.3.2006 and as there were large number of prospective bidders it could be completed only by 10.50 AM. Thirty eight bidders including twenty five for "Uneconomical Damaged Power Transformers" and fifteen for "other scrap materials" got themselves registered after completing the formalities. Thereafter the auction proceedings for the "Uneconomical Damaged Power Transformers" and other scrap materials was held. The bid of the petitioner for the "Uneconomical Damaged Power Transformers" for Rs. 1,80, 20,000/- was the highest and was accepted by the Auction Committee as it was for an amount higher than the reserve price. The petitioner was required to deposit Rs. 17,15,000/- which he deposited immediately on 17.3.2006. The petitioner was thereafter issued a sale letter dated 17.3.2006 by the Executive Engineer. It was mentioned that the sale order was being placed for the materials on the basis of the highest bid offered by the petitioner in the auction held on 17.3.2006. The petitioner was required to deposit the balance amount of Rs. 1, 63,05, 000/- by 31.3.2006 and the delivery period for lifting the materials was 60 days from the issuance of the sale letter.;