AIROnline 2025 SC 939

Constitution of India , Art.226, Art.19(6), Art.14— Tender – Legality of tender condition – Tender was for supply of Sports Kits to students of schools run by State Government – Eligibility criteria mentioned in tender notices ought to have rational nexus with the object sought to be achieved i.e., supply of good quality Sports Kits to students of the school, at the best price – Tender condition provided that bidders must have supplied Sports Kits worth specified amount to the State Government agencies of Chhattisgarh – Tender condition had effect of excluding competent and experienced suppliers, who may have executed contracts of far greater magnitude in other States or for Central Government departments, from participating in tender and had impact of promoting cartelisation – State by linking eligibility criteria with past local supplies had created artificial barrier, against suppliers who had no past dealing with State of Chhattisgarh curtailing fundamental rights of bidders – To confine eligibility to participate in tender, within one State was not only irrational but was also disproportionate to goal of ensuring effective delivery of Sports Kits – Such restriction, cannot be justified as reasonable within meaning of Art. 19(6) – Held, the tender condition was arbitrary, unreasonable and discriminatory – Tender notices were quashed.
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