CHENNAI: The Madras High Court has dismissed a public interest litigation (PIL) petition challenging the award of contract for supplying gold rings under the TN government’s ‘Thaimaman Thanga Modhiram Scheme’ to Joyalukkas and Kalyan Jewellers at a rate of 1 paise per ring for making, hallmarking, and transportation charges.
The first division bench of Chief Justice Sushrut Arvind Dharmadhikari and Justice G Arul Murugan dismissed the petition filed by Raj G, a goldsmith in Chennai.
Senior counsel T Mohan, appearing for the petitioner, submitted that 1 paise per ring for charges of making, hallmarking, and transportation of 4,41,667 one-gram gold rings is abnormally low and it is a speculative tender.
Citing Section 29 A of the Tamil Nadu Transparency in Tender Rules (which governs the treatment of speculative tenders), he said the quoted amount is commercially not feasible, and companies that won the award are not doing charity work but pure business, earning profits.
He also said the tender was evaluated by a committee formed to assess drugs and equipment, not bullion.