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Reasons for rejecting a tender must be disclosed on enquiry: Implementation of High Court Order

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No.26/5/2013-PPD
Government of India
Ministry of Finance
Department of Expenditure
(Procurement Policy Division)
North Block, New Delhi 
Dated 25th April, 2013
Office Memorandum
Subject:- Implementation of Court Order dated 13.4.12, passed by the Hon'ble Delhi High Court in WP(C) No. 2092/2012.
It has been observed that there are many instances of a tender being rejected or tender documents not being issued and when the party enquires reasons, the same are not- communicated, leading to unnecessary litigation. In such cases the first round of litigation is to find out the reasons and the second round is to challenge the reasons.

2.In this context, the Hon'ble Delhi High Court, in its Final Order in WP(C) No. 2092/2012, has directed that a communication be circulated to all Government Departments to disclose reasons in such cases where enquiries are made by a contracting party, so as to avoid unnecessary litigation.
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