HC sets aside govt to Follow e-tender System for All Major Public Works

Published on: 06 Oct, 2015
Published under: Kerala Business News

The Kerala high court on Tuesday upheld state government’s decision to implement e-tender system for contracts related to local self-government institutions (LSGIs).

Justice A M Shaffique dismissed a total of 41 petitions, including one filed by Government Contractors Federation, questioning the decision to implement e-tender system for works above Rs 5 lakh.

Government Contractors Association had filed a petition in support of the e-tender system.

The petitioners, who opposed the government’s move, had alleged that by deciding to introduce e-tender system, the government is infringing upon the powers of LSGIs.

The government order for the same is against existing panchayat and municipal laws, it was alleged.

They had also contended that the e-tender system is applicable only for contracts worth above Rs 25 lakh in public works department (PWD).

Therefore, the decision to opt for an e-tender system, even for contracts worth Rs 5 lakh in LSGI sector shows the double standard adopted by the government, the contractors alleged.

Contractors also complained that the new system is being introduced without providing adequate training and infrastructural facilities.

The government had ordered that the e-tender system should be adopted for awarding contracts worth more than Rs 5 lakh in LSGIs from June 25, 2013.

Opposing the petitions, government informed the court that contracts from LSGIs are in the range of Rs 5 lakh to Rs 25 lakh, whereas PWD contracts are in the tune of Rs 25 lakh and more.

As the nature of the contracts handed out by PWD and LSGIs are different, the mode of tendering cannot be compared between PWD and LSGIs, the court was told.

Upholding the decision to opt for e-tender system in LSGIs, the court held that the government has the right to decide on the method in which contracts are awarded, disbursement of contract amount, approval of completed works, and overall analysis of the work.

E-tender system would ensure transparency and speed in proceedings related to tenders.

As panchayat and municipal laws don’t have separate provisions to deal with tenders, government can impose conditions through executive orders, the court said.

Justice A M Shaffique dismissed a total of 41 petitions, including one filed by Government Contractors Federation, questioning the decision to implement e-tender system for works above Rs 5 lakh.

The federation had filed a petition in support of the e-tender system.

src -: http://timesofindia.indiatimes.com/city/kochi/Kerala-HC-upholds-government-decision-on-e-tender-for-local-self-government-institutions/articleshow/45960976.cms

Found Useful? Do Share: HC sets aside govt to Follow e-tender System for All Major Public Works:

Leave a Reply

Share Kerala News Online

Kerala Direct News

Check out the latest 2015 news from Kerala State of India. Just Kerala is the dedicated online portal to provide latest and genuine Kerala information. Kerala Live and breaking news, Top Headlines, Top stories, Politics, Movies, Sports news.

Last Updated Kerala News : 26 June, 2017