Tender : Relief where prima facie case of non-disclosure of material information by the successful bidder

Sikkim High Court Grants Interim Relief in Infrastructure Tender Dispute Court Stays Technical Evaluation and LoA Due to Alleged Non-Disclosure and Evaluation Irregularities

The Sikkim High Court, on December 3, 2025, granted interim relief to Hill Brow Metallics & Construction Pvt. Ltd. in a dispute over a tender for the construction and improvement of the Rishi-Rongli-Kupup road in East Sikkim. The Court observed a prima facie case of non-disclosure of material information by the successful bidder, M/s Rajinder Infrastructure Pvt. Ltd., and irregularities in the evaluation process conducted by the Border Roads Organisation (BRO).

Presiding over the case, Justice Meenakshi Madan Rai stayed the impugned Summary of Technical Evaluation dated October 4, 2025, and all consequential actions, including the issuance of a Letter of Acceptance (LoA) to M/s Rajinder Infrastructure Pvt. Ltd. The petitioner, Hill Brow Metallics & Construction Pvt. Ltd., argued that the successful bidder failed to meet the technical requirements and withheld critical information regarding its debarment by public authorities and ongoing legal issues.

The Court noted that the LoA does not constitute a concluded contract, and the balance of convenience favored the petitioner. Justice Rai highlighted that the timeline of events indicated an undue haste in issuing the LoA to the successful bidder, following an email alert from the petitioner about the irregularities.

The Court's decision to grant interim relief emphasizes the need for transparency and adherence to the stipulated tender conditions, especially in infrastructure projects. The case remains open for further hearings, with this interim order ensuring that the bidding process is scrutinized for fairness and compliance with legal standards.

Bottom Line:

Interim relief granted in a tender dispute where the court observed a prima facie case of non-disclosure of material information by the successful bidder and irregularities in the evaluation process.

Statutory provisions: Specific Relief Act, 1963 Section 41(ha), Indian Penal Code Section 420, Prevention of Money Laundering Act, 2002

Hill Brow Metallics & Construction Pvt. Ltd. v. Ministry of Defence, (Sikkim) : Law Finder Doc Id # 2817296