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2025 DAILYLAW 53508 (CHH)

SINGHANIYA FURNITURE AND MANUFACTURING BUSINESS PRIVATE LIMITED v. STATE OF CHHATTISGARH

WPC/5590/2025 · 2025-10-28

Shri Bibhu Datta Guru

Transfer Petitionbody2025

Judgment text

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1 2025:CGHC:52638-DB NAFR HIGH COURT OF CHHATTISGARH AT BILASPUR WPC No. 5590 of 2025 Singhaniya Furniture And Manufacturing Business Private Limited Through Its Director, Pramod Singhania, S/o Late Puran Lal Singhania, Aged About 39 Years, R/o Sharda Chowk, Janjgir, District : Janjgir- Champa, Chhattisgarh ... Petitioner(s) versus 1. State Of Chhattisgarh Through Secretary, Public Works Department, Mantralaya, Mahanadi Bhawan, Nava Raipur, Atal Nagar, District : Raipur, Chhattisgarh 2. Engineer In Chief Public Works Department, Nirman Bhawan, Raipur, District : Raipur, Chhattisgarh 3. Government Of India E- Marketplace, Through Its Chairman, 2nd Floor, Jeevan Tara Building, 5 Sansad Marg, Near Patel Chowk, New- Delhi. ... Respondent(s) For Petitioner(s) : Mr. C.J.K. Rao, Advocate For Respondent/ State : Mr. Shashank Thakur, Dy. A.G. For Respondent(s) No. 3 : Mr. Tushar Dhar Diwan, Advocate Hon’ble Shri Ramesh Sinha, Chief Justice Hon’ble Shri Bibhu Datta Guru, Judge JYOTI SHARMA Digitally signed by JYOTI SHARMA Date: 2025.10.31 10:44:12 +0530 2 Order on Board Per Ramesh Sinha, Chief Justice 29/10/2025 1. Heard Mr. C.J.K. Rao, learned counsel for the petitioner. Also heard Mr. Shashank Thakur, learned Dy. A.G. appearing for the respondents/State and Mr. Tushar Dhar Diwan, learned counsel for respondent No. 3. 2. The present writ petition has been filed by the petitioner with the following prayers: “10.1 That, this Hon'ble Court may kindly be pleased to set aside the Bid Number GEM/2025/B/6751870 dated 6.10.2025 floated by the respondent no.2. 10.2 That, this Hon'ble Court may kindly be pleased to direct the respondent to provide exemption of experience and turn over to the startup companies as per Chhattisgarh Store and Purchase Rules, 2002. 10.3 Any other relief which this Hon'ble Court deems fit and proper may also be passed in favour of the petitioner together with cost of the petition.” 3. The facts of the case is that the petitioner is a private limited company registered under the name and style of Singhaniya Manufacturing Business Private Limited, incorporated on 15.11.2023. The petitioner has also been recognized as a startup by the Government of India, Ministry of Commerce and Industry, Department 3 for Promotion of Industry and Internal Trade, vide certificate dated 08.03.2024. The grievance of the petitioner is that in the Bid No. GEM/2025/B/6751870 dated 06.10.2025, floated by respondent No. 2 through the Government e-Marketplace (GeM) portal, no exemption was provided to startup entities regarding the requirement of prior experience and turnover. It is contended that as per the notification issued by the Department of Commerce and Industries dated 01.09.2025 read with Rule 4.2 of the Store and Purchase Rules, 2002, such exemptions are mandatorily available to recognized startups. Due to the impugned condition in the bid document specifying ‘No’ exemption for startups, the petitioner, being a newly incorporated startup without the requisite turnover, was unable to participate in the tender process, leading to the filing of the present petition. 4. Learned counsel for the petitioner submits that the action of the respondent authorities in denying exemption to startup companies in the bid process is illegal, arbitrary, and malafide. He submits that as per Rule 4.2 of the Chhattisgarh Store and Purchase Rules, 2002, exemption from the requirement of prior experience and turnover is to be granted to companies recognized as startups by the Government of India. The petitioner company holds a valid certificate of recognition as a startup issued by the Department for Promotion of Industry and Internal Trade, Ministry of Commerce and Industry, Government of India. He further submits that in the tender document for Bid No. GEM/2025/B/6751870 dated 06.10.2025, the respondents have specifically mentioned ‘No’ against the clause relating to exemption for 4 startups, thereby depriving the petitioner of its right to participate in the tender process. It is therefore submitted that the impugned tender condition is contrary to the statutory rules and government policy, and deserves to be set aside. 5. On the other hand, learned counsel appearing for the respondent/ State would oppose the aforesaid submission and would submit that the Bid No. GEM/2025/B/6751870 dated 06.10.2025, has been floated as per Rule 3 of the Chhattisgarh Store and Purchase Rules, 2002 which does mandate that the purchasing department shall ensure adherence to the GeM portal norms. 6. We have heard learned counsel for the parties and perused the documents attached. 7. For the sake of convenience, it would be appropriate to quote Rule 3 and Rule 4 of the Chhattisgarh Store and Purchase Rules, 2002 which reads as under:- न⠿यम -3 "उपन⠿यम-3.1 उपन⠿यम-3.1.1 र〾जᱍय श㘾स कᕇ समस㡍त न⠿भⴾग/ቅ䖔 त कᕇयलय/अध❀्䵝 स्䵝ए༂ अप आश㙍यकᕇतसर〾 समቇ䞍, स㡍तए༂! ए༂ सए༂! ज᰿#कᕇ$ दर〾& ए༂ न⠿श㘿श㘾ቖ嚌) य! भⴾर〾त सर〾कᕇर〾 कᕇ ड⅀#ए༂सए༂ण⍍ड⅀ड⅀ कᕇ$ #म बसईट (GeM - Government e-Marketplace) म& उपल्䵓 ो䬻1, कᕇ ቅ䖔य #म बसईट स उकᕇ$ न⠿यमल, न⠿ध❀र〿र〾त ्䵚न⠿ቅ䖔य कᕇ पल कᕇर〾त ह㥁य ቅ䖔य 5 कᕇर〾&ग, न⠿कᕇन⡍त ऐस ቅ䖔य कᕇ श㘿लय न⠿भⴾग/ቅ䖔 त कᕇयलय/अध❀्䵝 स्䵝ए༂! #म बसईट म& सबቖ嚌ध❀त समቇ䞍 कᕇ तकᕇकᕇ$ ቢ抔श㘿श㘾न⠿8कᕇ श㘾 (Technical Specification) कᕇ पर〾्䵌ण, न⠿ቅ䖔 त कᕇ$ सख ए༂ ए༂ल-1 म<ल㉍य, आद☿द कᕇ न⠿ध❀र〾ण स㡍य कᕇर〾ग। न⠿भⴾग/ቅ䖔 त कᕇयलय/अध❀्䵝 स्䵝ए༂ कᕇ$ यो䬻 भⴾ ज᰿#म⹍मदर〾 ो䬻Aग न⠿कᕇ ो䬻 श㘾सकᕇ$य कᕇAष कᕇ$ ቖ嚌मत्䵤यत ए༂ ቅ䖔य कᕇ$ # र〾ो䬻 समቇ䞍 कᕇ$ गणቈ䢋 सन⠿ቐ傌Fत कᕇर〾ग। यद☿द र〾जᱍय श㘾स कᕇ कᕇAई न⠿भⴾग/ቅ䖔 त कᕇयलय/अध❀्䵝 स्䵝ए༂! इस ्䵚ध❀ स पर〾, इस न⠿यमल कᕇ न⠿यम-4 म& ቓ厌णIत ्䵚ध❀ कᕇ अरぁप न⠿न⠿द ्䵚णल कᕇ मध❍यम स समቇ䞍, स㡍तए༂! ए༂ सए༂! कᕇ ቅ䖔य कᕇर〾 चᨾो䬻 तA न⠿न⠿द कᕇ मध❍यम स समቇ䞍, स㡍तए༂! ए༂ सए༂! ቅ䖔य कᕇर〾 सकᕇ& ग, ि㼗कᕇIत ऐस कᕇर〾 कᕇ प< उन⡍ो䬻& सबቖ嚌ध❀त ्䵚श㘾सकᕇ$य न⠿भⴾग कᕇ मध❍यम स न⠿ቈ䢋 न⠿भⴾग स श㘿लखᘿखत सो䬻मन⠿त ्䵚प⩍त कᕇर〾 ो䬻Aग। "11.07.2024. उपन⠿यम-3.1.2 न⠿लAन⠿पत 05.03.2025 उपन⠿यम-3.1.3 न⠿लAन⠿पत 05.03.2025 उप न⠿यम-3.2 न⠿लAन⠿पत 05.03.2025 उपन⠿यम-3.3 न⠿लAन⠿पत 05.03.2025 उपन⠿यम-3.4 ऐस समቇ䞍 स㡍तए༂! ए༂ सए༂! #A उपन⠿यम 3.1 "" 05.03.2025 म& ቓ厌णIत ो䬻P ो䬻Q, उकᕇ ቅ䖔य र〾जᱍय श㘾स कᕇ सभⴾ न⠿भⴾग/ቅ䖔 त कᕇयलय/अध❀्䵝 स्䵝ए༂! न⠿यम-4 म& उल㉍लखᘿखत ्䵚न⠿ቅ䖔य कᕇ असर〾ण म& ቅ䖔य कᕇर〾 सकᕇ& ग। न⠿यम -4 श㘾सकᕇ$य ቅ䖔य समन⡍यतR न⠿न⠿द कᕇ मध❍यम स न⠿कᕇय #यग। न⠿न⠿द कᕇ सबध❀ म& ्䵚न⠿ቅ䖔य न⠿म⹍सर〾 ो䬻Aग : - उपन⠿यम-4.1 न⠿न⠿द आम्䵔ण कᕇ प< ቅ䖔य कᕇ$ # ल समቇ䞍 कᕇ मपदण⍍ड⅀ तकᕇकᕇ$ ሺ㪋 र〾ख ल न⠿श㘾षሺ㪋1 ቛ宋र〾 न⠿ध❀र〿र〾त न⠿कᕇय #ए༂ग। 6 उपन⠿यम-4.2 न⠿न⠿द कᕇ$ श㘾तV कᕇ न⠿ध❀र〾ण ቅ䖔 त ቛ宋र〾 न⠿कᕇय #ए༂ग। पर〾न⡍त, छቈ䢋सगढ∼ म& ्䵝न⠿पत भⴾर〾त सर〾कᕇर〾 स मन⡍यत ्䵚प⩍त Qध❀ स㡍टट-अप "” 05.03.2025 ो䬻Q तथ┾ न⠿न⠿दकᕇत ቛ宋र〾 न⠿न⠿द #र〾 कᕇर〾 कᕇ$ द☿दकᕇ कᕇA भⴾर〾त सर〾कᕇर〾 कᕇ$ बसईट पर〾 Qध❀ पय गय ो䬻Q, कᕇA न⠿न⠿द ्䵚न⠿ቅ䖔य म& न⠿म⹍सर〾 लभⴾ ्䵚प⩍त ो䬻1ग:- 1. प< अभⴾ कᕇ$ आश㙍यकᕇत ो䬻P ो䬻Aग 2. उस पर〾 प< टओर〾 सबध❀ कᕇAई श㘾त अቖ嚌ध❀र〾Aन⠿पत ो䬻P ो䬻Aग। 8. We have heard learned counsel for the parties and perused the documents on record. 9. Having heard learned counsel for the parties and perused the documents placed on record, it is apparent that the tender in question bearing Bid No. GEM/2025/B/6751870 dated 06.10.2025 was issued by respondent No. 2 through the Government e-Marketplace (GeM) portal for procurement of goods and services. As per Rule 3 of the Chhattisgarh Store and Purchase Rules, 2002, all departments and purchasing authorities of the State are required to make purchases of materials, items, and services through the GeM portal, following the procedure and guidelines prescribed therein. The rule specifically mandates that the purchasing department shall ensure adherence to the GeM norms, technical specifications, vendor verification, and price determination on the platform. Only where the procurement is proposed to be made outside the GeM system, the department is required to obtain prior written consent from the Finance Department under Rule 4. 7 Thus, Rule 3 governs all purchases made through the GeM portal, while Rule 4 applies to purchases made through the traditional tender system after obtaining such approval. Rule 4.2 of the Rules provides certain relaxations in the tender process for startups recognized by the Government of India, namely exemption from the requirements of prior experience and minimum turnover. However, the plain reading of the rule makes it clear that these exemptions are applicable only to tenders invited under Rule 4, i.e., procurements conducted outside the GeM system after due approval, and not to procurements made through GeM under Rule 3. Since the present bid has been floated strictly under Rule 3, the exemption contemplated under Rule 4.2 cannot be claimed by the petitioner as a matter of right. The bid conditions mentioning ‘No’ exemption for startups are therefore in conformity with the governing procurement procedure and cannot be said to be arbitrary, illegal, or contrary to the statutory provisions. 10. In view of the above, this Court finds no illegality or procedural irregularity in the action of the respondent authorities in floating the bid under the GeM system without granting exemption from experience and turnover requirements to startups. Accordingly, the petition being devoid of merit is hereby dismissed. No order as to costs. Sd/- Sd/- (Bibhu Datta Guru) (Ramesh Sinha) Judge Chief Justice Jyoti