CUTTACK: The Orissa High Court has quashed the tender floated by the Balasore municipality and district administration for sanitisation, sweeping and parking facilities near daily markets, holding that a clause permanently barring previously blacklisted bidders violated fundamental rights.
Accordingly, the division bench comprising Chief Justice Harish Tandon and Justice MS Raman quashed the tender floated on April 9, 2025 and directed Balasore municipality to issue a fresh tender, consistent with constitutional principles, within 15 days.
The court was hearing three writ petitions together, as all petitioners sought a common objective. One of them being a PIL seeking a direction to the municipality to ensure sanitisation, sweeping and collection of sairat (parking tolls) through a new tender.
The court focused primarily on the validity of Clause 15 of the impugned tender, which barred participation of any bidder who had been “ever blacklisted or debarred” by any tender-inviting authority, government body or PSU.
The court noted that the clause imposed a complete and perpetual embargo on such bidders. It observed that it is “no longer res integra (an untouched matter)” that blacklisting or debarring a person from public tenders has serious implications for the fundamental right to carry on trade or business under Article 19(1)(g) of the Constitution.
While acknowledging that blacklisting is a legitimate tool against defiant or defaulting contractors, the judges stressed that “it should not be used as a tool for a civil death”.