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High Court of Andhra Pradesh · body

2025 DAILYLAW 37193 (AP)

M/S.BHRUNDA INFRA PVT.LTD v. STATE OF AP,PRL.SCY,I&COMM,HYD,& 3

WP/27389/2016 · 2025-03-07

K Manmadha Rao

body2025

Judgment text

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IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) [3310] FRIDAY ,THE SEVENTH DAY OF MARCH TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE DR JUSTICE K MANMADHA RAO WRIT PETITION NO: 27389/2016 Between: M/s.bhrunda Infra Pvt.ltd ...PETITIONER AND State Of Ap Prl Scy Icomm Hyd 3 and Others ...RESPONDENT(S) Counsel for the Petitioner: 1. C SUBODH Counsel for the Respondent(S): 1. GP FOR MINES AND GEOLOGY (AP) The Court made the following Order: The Writ Petition is filed under Article 226 of the Constitution of India, seeking the following relief: “…..to issue an appropriate Writ more in the nature of Writ of Mandamus declaring the action of the respondents in not refunding the non-refundable tender fees of Rs.1,00,000/- each to the petitioner with respect of Reaches of Kolagatla Sangam Mandal and Pottepallem Nellore Rural Mandal of SPSR Nellore District is illegal and arbitrary even though the tenders were cancelled due to the change of sand policy by the Government is illegal and arbitrary and consequently direct the respondents to pay an amount of Rs.2,00,000/- to the petitioner which is paid as non-refundable tender fees….” 2 2. Brief facts of the case are that the 3rd respondent herein issued notification No.5689/DLS/Sand/2015, dated 23.01.2016 inviting e-bids in digital form from eligible bidders for e-tender cum e-auction of quarrying leases from the identified sand reaches for a period mentioned from the date of execution lease deed. As per the notification, tenders were called for 25 Sand Reaches in Nellore district and the bidders who agree to sell sand at a price not more than maximum price of sand i.e., Rs.500/- per cubic meter as specified by the government shall participate in the e-tender cum e-auction process and the available existing infrastructure at the reaches shall be used by the successful bidder on payment of rent fixed by the District Level Committee. It is further stated in the notification that the last date for online purchase of tender document is 06.02.2016 and last date of submission of the bid is 16.00 hours on 09.02.2016. In response to the above tender notification, the petitioner paid non-refundable tender fees of Rs.1,00,000/- each to the Kolagatla, Sangam Mandal Reach and Pottepallem, Nellore Rural Mandal Reach in favour of MSTC Limited through RTGS and got registered by paying registration charges of Rs.10,000/- and service tax 14.5% and also paid EMD of Rs.9,19,000/- and Rs.7,35,000/- for each sand reaches and participated in the tenders. While things stood thus, the Government of Andhra Pradesh changed the sand policy and cancelled the tenders for granting quarry leases from the identified sand reaches on 29.02.2016. Immediately, the petitioner 3 approached the 3rd respondent and requested to repayment of EMD and tender fees as the tenders were cancelled. The 3rd respondent refunded the EMD amounts and not paid tender fees of Rs.2,00,000/- stating that is is non- refundable tender fees and it cannot be refunded. Aggrieved by the same, the present writ petition has been filed. 3. Though the writ petition is filed in the year 2016, so far the respondents have not filed any counter till date. Therefore, the right of filing of counter is forfeited as per Rule 12(1) of Writ Proceeding Rules, 1977. 4. Heard Mr.C.Subodh, learned counsel for the petitioner and Ms.P.Sudeepthi, learned Assistant Government Pleader for Mines and Geology, for the respondents. 5. On hearing, learned counsel for the petitioner while reiterating the contents urged in the writ petition, submits that, the petitioner made a representation to the 4th respondent stating that the petitioner participated in the tenders for sand reaches in Kolagatla, Sangam Mandal Reach and Pottepallem, Nellore Rural Mandal for which the last date of submission of tenders is 09.02.2016 by paying all requisite fees including non-refundable tender fees and requested the 4th respondent to refund the Rs.2,00,000/- which is paid as non-refundable fees for two sand reaches along with the copies of payment made through RTGS. But the 4th respondent has not 4 returned the non-refundable fees to the petitioner. He further submits that the tenders were cancelled due to change of Government policy for leasing out the sand quarrying. Even though there is no mistake committed by the petitioner, the action of the respondents in not refunding the non-refundable tender fees is illegal and arbitrary. Therefore, learned counsel requests this Court to pass appropriate orders. 6. Per Contra, learned Assistant Government Pleader vehemently opposed for grant of any relief in the present writ petition and submits that, in the notification published on 21.01.2016, it was clearly mentioned that the tender fee was non-refundable, and also imposed condition that “cancel the e-tender cum e-auction notification without assigning any reasons whatsoever”. After accepting the conditions imposed in the notification, the petitioner has purchased the tender documents for the reach i.e., Kolagatla, Sangam Mandal Reach and Pottepallem, Nellore Rural Mandal by paying Rs.1,00,000/- for each reach. She further submits that the petitioner was well known about the rules and conditions of sand auctions, which were published in the notification. Therefore, learned Assistant Government Pleader prays to dismiss the writ petition. 7. Perused the record. 5 8. On a perusal of the material on record, this Court observed that, the 3rd respondent has issued notification vide No.5689/DLS/Sand/2015, dated 23.01.2016 with the following conditions: “.... Those who are interested and eligible can participate in the bidding only after only payment of a non-refundable tender fee of INR Rs.25,000/- to reach upto 20,000 cum of sand. INR 50,000 for reaches above 20,000 cum and upto 40,000 cum of sand and INR 1,00,000/- for reaches above 40,000 cum of sand, as the case may be, and download the tender documents from the website of e-tender cum e-auction platform provider. (iii) Cancel the e-tender cum e-auction notification without assigning any reason whatsoever.” 9. Having regard to the facts and circumstances of the case and on considering the submissions of both the learned counsels and upon perusing the entire material on record, this Court observed that, in the notification dated 23.01.2016, it was clearly mentioned that the tender fee was non-refundable and also imposed a condition that the Auctioning Authority reserves the right to cancel the e-tender cum e-auction notification without assigning any reasons whatsoever. Therefore, this Court found no merit in the instant writ petition and devoid of merits and the same is liable to be dismissed. 10. Accordingly, the Writ Petition is dismissed. No costs. As a sequel, miscellaneous applications pending, if any, shall stand closed. __________________________ Dr. K. MANMADHA RAO, J Date : 07-03-2025 BMS