Tender – disqualification of contractor for non-compliance of GST condition in the Tender – illegal – Condition was non-essential and although other bidders did not submit GST returns they were qualified

The petitioner is a contractor of water supply through tankers.   The Respondent No.3 Collector invited E-tender vide notice dated 13.7.2023.  In all eight bidders who participated in the tender process were declared qualified.   On opening the financial bids, the petitioner was the lowest bidder at L-1.  However, By the notice dated 25.9.2023, the respondent no.4 invited the petitioner and two other lowest bidders for negotiations.    The petitioner had objected to the same.  The petitioner’s representation was not responded and therefore, filed the writ petition.  However, during the pendency of writ petition, the petitioner was given show cause notice dated 30.10.2023 for disqualification on account of non-compliance of condition no.11 regarding GST.   The petitioner was disqualified by the letter dated 17/20.11.2023 from the tender process on the ground that false information of GST number was given in its tender since its GST registration was disqualified.

HELD that the Committee of eleven Class I officers, on scrutiny of the technical bids, declared the petitioner including one more bidder who did not submit GST returns as qualified.   Although the technical evaluation report took note of non-compliance of GST returns, the dis-qualification was not ordered.   Thus, the Authority has waived the said non-essential condition.   Secondly, .there is waiver for such waiver in the notification of Ministry of Finance. Once it is found that there was thoughtful waiver of GST condition, it is difficult to justify subsequent disqualification.

Judgment dated 6.3.2024 in W.P.No.12103 of 2023 of M/s. H.P. Ghumare Vs. The State of Maharashtra and others