The High Court · 2025

Petition undei' Articre 226 0f the constitution of rndia praying that in the circumstances stated in the affidavit fited therewith, the High Court may be pleased to issue an appf opfjre wri:. craer or direct.ron, more particularly one in the nature of Wrii of Mandamus declaring the proceedings in 2022-23 dt.25 .4 2023issued by the 2nd Lr'No r\4ktg/M2(1)/padovrrre:rsporl/Kri4s .'i. i i I I I i i I Respondent insisting the Petitioners to undertake transportation though bid validity was expired by 13 01 '2023 and also declaring the Proceedings in Lr.No.Mktg/l\42l2991/PTC/K[/I 5-2022-23 dt 9 8 2023 issued by the 1't Respondent and the consequential Proceedings in Lr'No No ' Paddy/Tenders/Kus 2022-23 d1.31 10.2023 issued by the 3rd Respondent forfeiting EMD paid by the Petitioners in connection with Tender Notice bearing E-Tender Reference No.Paddy/Tenders/Kt\ils2022'23di2.10.2022'asillegal'unjust'arbitrary', discrimlnatory, irrational, without jurisdiction' violative of Principles of Natural Justice, suffers from colourable exercise of power and in violation of Articles 14, 19,21 and 30OA of the Constitution of lndia and consequently set aside the impugned proceedings dt2504'2023' 09 08 2023 and 31 10.2023 and direct the Respondents to return the EtvlD along with interest @24 percenl per annum from 14.01 .2023, on which date Bid Validity was expired' till the date of payment' t.A.NO 10F 2024 Petition Under Section 151 CPC praying that in the circumstances stated in theaffidavitfiledinsupportofthepetition'theHighCourtmaybepleasedto direct the Respondents to permit the Petitioners to participate in the tender process to be initiated under the ensuing tender notices includrng the tender notice d1.22.O8.2024 ' by suspending the impugned Proceedings in Lr.No lvlktg/ttl2(1)/Paddy/ Transport/K[MS 2022-23 dt25 4 2023 issued by the 2nd Respondent, Proceedings in Lr.No Mktg/Nli2l2ggltPTCIKMS-2O22-23 dt 9 8 2023 issued by the 1st Respondent and Lr'No No Paddy/TenderstKMS 2022-23 d1.31 .10.2023 issued by the 3rd Respondent' pending disposal of the above writ petitton. Counsel for the Petitioners : SRI SRINIVAS BOBBILI Counsel for the Respondent Nos'1 to 3 : SRI K'DEVENDER (SC FOR CIVIL SUPPLIES CORP) Counsel for the Respondent No'4 : G'P FOR CML SUPPLIES The Court made the following ORDER THE HON'BLE SMT. JUSTICE T. MADHAVI DEVI WRIT PETITION No.24077 of 2024 ORDER: This Writ Petition is filed seeking the fo[owing reliel "...to issue an appropriale wril, orcler or tlirecli n, more particularly one in the nature of Writ of Mantlamus declaring lhe Proceedings in Lr.No. Mktg/M2 (l )/padtly/Transport/KMS 202 2_2 3 dt.25 .1.2023 issued hy the 2nd Resporulent insi.rting the petitioners to underlake transportdtion though bitt valitlity was expired by 13.01.2023 and also declaring the proceedings in Lr. No.l4hS/M2./2991/?TOK lt,{S_202 2_23 (tt.g.S 2023 i.ssued by rhe ln Respondenr and rhe consetluential proceedings in Lr. No.No. Paddy/l'enders/KltS 2022_23 dt.31.t0.2023 issued by the 3'd Respondent forfeiting EMD paid by the petitioners in connection with Tender Notice hearing E_T.entler ReJ.erence No.Paddy/Tenders/KMS 2022_23 ttt.2. 10.2022, as illegal, unjust, arbirrary' discriminatorl', irrorionar, w,ithour jurisdiction, viorarive of Principles of Naruror Ju.rrice, suffers from colourabre exerci.re oJ pou,er and in yiolation oJ'Arlicle.s lj, tg, 2t ancl 300A rl the Constitution o.f India antl consequently set uside the impugnecl proceedings dt.25.04.2023. 09.0g.2023 and j 1. 10.2023 and direct the Respondents lo return the EMD along with intere.rt @ 2l o/o per annum.from 11.01.2023, on which dale llitl Valitlity was expired, till the date of payment antlpass...',

2. Learned counsel for the petitioners submitted that in response to E-Tender notification dated 02.10.2O22, the petitioners i 1 I I t i I t: l I I i i { i 'I : i I \..:..*1.,.} .,:. TMDJ wp 2401'1 2024 2 have participated and submitted the EMD amount of Rs'3,00'000/- each. Leamed counsel for the petitioners submitted that the respondents neither finalized the tender within the bid validity period nol extended the said period and consequently' the petitioners made a representation dated 25 01'2023 requesting the r.eturn of the EMD amount. It is submitted that without considering the said representation, respondent No.2 issued appointlnent orders dated 25.04.2023 to the petitioners' Since the bid validity period has already expired, the petitioners were unable to accept the appointment letters and expressed their inability to proceed with the contract and sought refund of the EMD amount Learned counsel for the petitioners fur1her subrnitted that when the petitioners approached the office of respondent No 3 to ascerlain the status of their request for refund of the EMD amount, they wcre served with the impugned orders dated 09.08.2023 and 31'10'2023' Leamed counsel for the petitioners submitted that these proceedings are illegal and in violation of the tender terms and conditions. It is further submitted that the petitioners had not sought any extension of the bid validity period after its expiry and q i : i I I I i ! ! i I 1 1 l I i I 3 1'MDJ wP_24077 2024 therefore, the bid was not valid after l3.Ol.ZO23 and the respondents could not have issued the appointment orders thereafter on 25.04.2023.

3. Leamed counsel for the petitioners placed reliance upon the decision of the High Court of Andhra pradesh in W.l,.No. 1643 I of 2012, dated O2.Og.2Ol5, wherein in similar circumstances, it has been held that after the expiry of the bid validity period, the EMD amount cannot be forfeited and the petitioners, offer also could not have been aCcepted thereafter.

4. Leamed Standing Counsel for the Telangana State Civil Supplies Corporation, appearing for respondents No.l to 3, is also

5. Having regard to the rival contentions of the parties and the material available on record, this Court is of the opinion that the bid was not valid after 13.01.2023 and therefore, the appointment orders dated 25.04.2023 are invalid. The invalidity of the bid is not attributable to the petitioners and therefore, there can be no forfeiture of the EMD of the petitioners. Therefore, the respondents could not have kept the EMD amount for such a long period. { { I , TMDJ \\p 2407'1 2024 4 \

6. In view thereof, the impugned orders dated 25'04'2023,

09.08.2023 and 31.10.2023 are set aside and the respondents are directed to refund the EMD amount of Rs.3,00,000L each to the petitioners along with applicable rate of interest.that is being given by the State Bank of India on its fixed deposits from the date ol request of the petitioners for refund till the date of payment' The payment shall be made within a period of two (02) tnonths from the date of receipt of a copy of this order. l. With the above directions,, this Writ Petition is disposed of-' there shall be no order as to costs. Miscellaneous applications, if any, pending in this writ petition, shall stand closed //TRUE COPY// SD/.P. PONNA KRISHNA ASSISTANT REGISTRAR SECT N OFFICER \ l \ To

1. The Vice chairman and lVlanaging Director, Telangana State civil supplies corooration Limited, r,J"irig irJREgd ottice at 6-3-"655/1/8, Civil Supplies Bhavan, Somajiguda' Hyderabad 500082 Z in" nOa,tional'Ctllector'and EOED, Telangana State Crvil Supplies - CoipoirtiLn Limited,'Oi.tiiii Otfi".,'S-t6, litegrated Distnct Offices Complex, VVipri". nagfr unaOfripaiem Mandal, Khammam District-5O73 1 8' 3 The District rvrrn"g"tli"L;g,ni Stjt" Civil Supplies Co1q91{io,n Limited' - oislrtt Ofice, S-t"6 lntegraied District Offices Complgl V V Palem Ra! fru naa napa lem Mand'al, Khammam^D istricl50T 3'1 B' a in; prrncipri se"r"trry, civii supplies Department, secretariat, Saifabad, s iwo-c-C's to clp ron itvir suppl-tES, High Court for the State of 6 o;; ct to sRt ; o;; cc to snt K DEVENDER (sc FoR clvll SUPPLIES coRP) Advocate 8. Two CD Copies Telangana at Hyderabad. (OUT) State of Telangana at Hyderabad eoaBlll, Advocate IOPUC] -sRtt{tves loPUCl - SA BS {lY f: "'' I::*:*i-}: l*,-X - ::: :::-ai 't&;:4.tw:rxrgr :?xF1x&-"3'r: "!t' Y""-----::"::tt- ' ' ' : I I a- ". 'l : a. I ;. 02 ljEP 206 ,.,; .,, '\.-. - . + -..? HIGH COURT DATED:1 110812025 i: 1 i I i I I i I I I ORDER WP.No.24077 of 2024 DISPOSING OF THE W.P WITHOUT COSTS.