M/S L.K. & SONS Vs. STATE OF MANIPUR

JUDGEMENT

(1.) THE petitioner is a firm registered under the Indian Partnership Act, 1932 and is engaged in execution of different types of contracts. In this writ application, the petitioner challenges the legality of the order passed in Annexure -A/6 dated 21.10.2013 directing for furnishing additional Bank Guarantee of Rs.25.00 crorers (Rupees twentyfive crores) for the purpose of execution of Agreement.

(2.) THE respondents published a notice on 7.8.2013 inviting bids of eligible parties for appointment as Management Agency of taxation posts along the National Highways passing through the State of Manipur at Hengbung, National High Way No.2 in the District of Senapati and at Jiribam, National Highway No.37 in the Imphal East District.

(3.) MR .H.S. Paonam, learned Sr.counsel appearing for the petitioner challenges the order in Annexure -A/6 on the ground that as per the terms of the tender documents, the petitioner is required to have a minimum of Rs.5.00 crores turn over per annum and it is also required to furnish Bank Guarantee for a sum of Rs.50.00 lakhs as the assured value. There is no such condition giving liberty to the respondents to direct for furnishing of any further amount as additional Bank Guarantee for the purpose of entering into an Agreement. Therefore, in the absence of such a provision in the tender documents, demand for furnishing additional Bank Guarantee of Rs.25.00 crores is unreasonable and arbitrary.