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Supreme Court of India 2024-10-04 allowed

BANSHIDHAR CONSTRUCTION PVT. LTD vs BHARAT COKING COAL LIMITED & OTHERS

Bench: 2 — Bela M. Trivedi, Satish Chandra Sharma

In Brief

A coal mining company (BCCL) rejected the Appellant's tender bid on the ground that a Power of Attorney was notarized after certain documents were signed, claiming non-compliance with tender requirements. However, the Appellant had submitted the notarized POA and all documents before the deadline. Meanwhile, BCCL accepted another bidder's bid despite its failure to submit mandatory financial documents at submission time, allowing it to submit them later. The Supreme Court held this decision was arbitrary and violated the constitutional right to equality. Although courts defer to tender authorities on contract decisions, they must intervene when a bidder is treated unfairly while another is given preferential treatment. The decision was set aside, and BCCL was directed to conduct a fresh tender process fairly.

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