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Judgment
M. Ganga Rao, J
The petitioner is an outsourcing contract agency filed this writ petition to issue a writ of mandamus directing the 2nd respondent not to accept the Accept/Approved letter No.A1/81/2022 dated 28.2.2022 and stop, stall and stay all proceedings including executing the contract agreement and consequently direct the 2nd respondent to issue accept and approved letter and execute the contract agreement in favour of the petitioner, or otherwise direct the 1st respondent to conduct enquiry to take necessary disciplinary action on the 2nd respondent for not following the principles of natural justice in declaring the lowest bidder as the winner of the tender.
The brief facts of the case are that the petitioner’s services were engaged to provide personnel on outsourcing basis to provide services to the Agricultural College, College of Agricultural Engineering, College of Food Sciences and Technology and Research Stations of Bapatla campus affiliated to Acharya N.G.Ranga Agricultural University initially for a period of one year from 01.03.2018 to 28.2.2019 and later extended for one more year from 01.03.2019 to 28.2.2020 and subsequently extended for six months in four spells i.e., from 01.03.2021 to 31.8.2021 and from 01.09.2021 to 28.2.2022. Many complaints received from the workers on delay of monthly salary payments and failure in paying EPF and ESI regularly in respect of deduction from the wages of the workers. Accordingly, he was asked to produce the proofs of remitted challans/documents for statutory taxes from 01.04.2019 through Memo No.A1/213/2021 dated 08.07.2021 by the Associate Dean, Agricultural College, Bapatla. When the petitioner failed to submit details of payment, another Memo dated 03.11.2021 was issued to the petitioner. He failed to produce the payment challans as proof of payment of EPF and ESI. Further, the contract employees engaged in Agricultural College, Bapatla have given written complaint to the Associate Dean, Agricultural College, Bapatla on 24.2.2022. The petitioner’s contract period is going to complete by 28.2.2022. A Tender Committee was constituted by the Associate Dean, College of Agricultural Engineering, Association Dean, College of Food Science &Technology and Assistant Comptroller, Regional Accounts Officer, Bapatla. The said committee has taken a decision on 07.02.2022 to issue fresh tender notification for inviting applications from the outsourcing agencies for providing services on outsourcing basis to the sanctioned/non sanctioned posts and work done on work contract basis for the colleges and research stations of Bapatla campus affiliated to Acharya N.G.Ranga Agricultural University. Accordingly, a tender notification was issued on 10.2.2022 in Sakshi News paper. In pursuance of the tender notification, three tenders were received, including the petitioner’s tender.
The Tender Committee opened the tenders on 26.2.2022 at 11.00 A.M in the presence of tenderers. However, the petitioner was not present. When the 3rd respondent Sri Venkateswara Outsourcing Agency has fulfilled the tender conditions, the tender was allotted to him on 3% service charge, even though service charge is 1% high over and above the petitioners tender, whereas the petitioner has quoted only 2% service charge. As per the guidelines issued by the Government of Andhra Pradesh in G.O.Ms.No.151 dated 08.08.2016, a commission of not more than 5% of the remuneration shall be paid to the service providers. Moreover, the 3rd respondent is provided the services during the period from 01.09.2012 to 28.2.2018 to the Agricultural College, Research Stations and other institutions located at Bapatla under Acharya N.G.Ranga Agricultural University and his services were satisfactory without any complaints.
The tender process was completed on 28.2.2022 and Approved letter was issued to the 3rd respondent on the same day and entered into an agreement on 01.03.2022 in view of the letter issued by the 2nd respondent vide Letter dated 28.2.2022 and works have been allotted to the 3rd respondent and he is providing services from 01.03.2022 onwards as per the contract agreement.
Having considered the facts and circumstances of the case, submissions of the counsel and perused the record, this Court found that the 2nd respondent tender committee issued notification on 10.2.2022 in Sakshi news paper inviting applications from outsourcing agencies for providing services on outsourcing basis to the sanctioned, non sanctioned posts and work done on work contract basis for the colleges and research stations of Bapatla campus affiliated to Acharya N.G.Ranga Agricultural University. In pursuance of the tender notice, three tenders were received, including the petitioner’s tender. Tenders were opened on 26.2.2022 at 11.00 A.M. in the presence of tenders and the petitioner was not present. When the tenders are opened, the Tender Committee found that the 3rd respondent tender is found to have fulfilled the tender guidelines and work was entrusted at 3% service charge. Even though the petitioner has quoted 2% as service charge, the 2nd respondent Tender Committee having power to award the service commission of not more than 5% of the remuneration as per G.O.Ms.No.151 dated 08.08.2016 issued by the Government of Andhra Pradesh, wherein guidelines are issued that not more than 5% of the remuneration shall be paid to the service providers. Hence, the contention of Sri Basheer Ahmed, learned counsel for the petitioner that as the petitioner quoted 2% service charge i.e., 1% less than the service charge of 3% quoted by the successful tenderer i.e., 3rd respondent, the tender has to be allotted in favour of the petitioner alone, could not be countenanced. The tender bid is purely a commercial contract; it is for the employer to evaluate such tenders and award contracts to the successful bidders as held by the Apex Court in the case of Jagdish Mandal v. State of Orissa (2007) 14 SCC 517. Further, the relief as prayed for could not be granted at this stage as the petitioner is not challenging the entrustment of the work by agreement dated 01.03.2022 to the 3rd respondent.
In view of the above discussion, the writ petition is devoid of any merits and is liable to be dismissed and is accordingly dismissed. There shall be no order as to costs.
As a sequel thereto, miscellaneous petitions, if any, pending shall stand closed.