PANAJI
The Bombay High Court at Goa has dismissed a petition filed by MSPL Ltd, a company that participated in the auction process for Goa’s iron ore blocks, which had challenged the auction process and asked that the state government furnish complete information to all bidders to ensure a level playing field.
The High Court bench of Justices Prakash D Naik and Bharat Deshpande ruled that they had no reason to interfere in the auction process.
MSPL had approached the High Court arguing that the notice inviting tender (NIT) had the duty to disclose basic essential facts including the approved mine plan, borehole data, exploration data, production data of the previous five years, etc. in the correct format.
The company argued that in the absence of proper information, the erstwhile lessees had an advantage of having basic and essential information/data pertaining to the mineral blocks leading to their full and effective participation in the bidding process with well informed decision thereby leading to their selection as preferred bidders.
“There was no level paying field in the e-auction process. The process of issuance of tender by the State Government is not in accordance with law. The petitioner is prejudiced by not providing basic and essential information,” the petitioners argued.
However, the High Court was not convinced. “This Court in exercise of jurisdiction under Article 226 of the Constitution of India cannot undertake to ascertain whether the information supplied in terms of tender document is sufficient or adequate or not when the author of the document has categorically stated that, the information is sufficient and adequate to entertain the bids and has also put the bidders to notice that any other and further information should be obtained by the bidders before they submit the bid,” the High Court division bench said.
MSPL had filed a petition asking the court to strike down clause 1.3 of the tender document and clause 11(a) of the bid document to the extent it fails to disclose basic and essential facts such as approved mine plan, borehole data, exploration data, production data of the previous five years etc.
The company had also sought to quash and set aside e-auction process initiated by with respect to viz. Bicholim (Block-I), Sirigao-Mayem (Block-II), Monte De Sirigao (Block-III) and Kalay (Block-IV) mines.
The petition also sought to quash and set aside a letter of intent (LOI) issued to the winning bidders as preferred bidders with respect to respective viz. Bicholim (Block-I), Sirigao-Mayem (Block-II), Monte De Sirigao (Block-III) and Kalay (Block-IV) mines.
