R.V. Raveendran JUDGMENT
R.V. Raveendran, J.
1. Leave granted in both the special leave petitions.
2. These two appeals by special leave, arise out of a common judgment dated 25.1.2006 passed by the Orissa High Court allowing Writ Petition (Civil) Nos. 4769/2005 and 4768/2005 filed by Narayan Mohanty (common fifth respondent in these two appeals). In the said petitions, Narayan Mohanty had challenged the award of construction contracts to Jagdish Mandal and Laxman Sharma (respective appellant in these appeals) in Upper Indravati Irrigation Project ('UIIP' for short). The State, the Executive Engineer (Right Canal Division No.III), the Chief Engineer (UIIP), and Superintending Engineer (UIIP) who were the common respondents 1 to 4 in the said two writ petitions hold the same rank in these two appeals.
Facts in SLP [C] No. 3196/2006 (re : first stretch)
3. The second Respondent, acting on behalf of the Water Resources Department, State of Orissa, invited tenders for "construction of Right Extension Main Canal from RD 8.01 km to 9.03 km including structures" by tender notice dated 9.11.2004. The estimated value of the work as per the tender schedule was Rs.1,69,10,506. In response, 17 tenders were received. The offer of the fifth respondent was the lowest (Rs. 1,22,99,099) and the offer of appellant (J. Mandal) was the second lowest (Rs.1,29,36,579). The Executive Engineer recommended the acceptance of the tender of fifth respondent.
4. The fifth respondent furnished the Earnest Money Deposit (EMD) by pledging a postal Term Deposit of Rs.1,70,000/- (Passbook No. 154120 dated 6.12.2004 issued by the Post Master, Mukhiguda) in favour of the second respondent. A written complaint was received by the Department alleging that fifth respondent had made a postal deposit of only Rs.7,000 and had defrauded the Department by altering the figure in the passbook as Rs.1,70,000. In view of the said complaint, the Superintending Engineer wrote to the concerned Post Office on 3.2.2005 requesting confirmation about the authenticity of the said Term deposit. A similar letter was addressed by the Chief Engineer on 11.3.2005 to the Post Master General, Berhampur Zone, seeking information as to whether fifth respondent had made a deposit of Rs.1,70,000 on 6.12.2004 or any subsequent date. The Superintendent of Post Offices, Kalahandi Division, sent a reply dated 14.3.2005 to the Superintending Engineer stating that the said TD Account for Rs.1,70,000 submitted by fifth respondent should not be taken into account for any official requirement.
5. The tenders were scrutinized and considered by the Project Level Committee ('Committee' for short) consisting of the Superintending Engineer, (Right Canal Circle), the Financial Advisor and Chief Accounts Officer (UIIP), the Executive Engineer (UIRC Division No. III), and the Assistant to Chief Engineer(UIIP). The details of their deliberations and recommendations are contained in the proceedings dated 24.3.2005. The Committee found that fifth respondent, the appellant (Jagdish Mandal) and Dinesh Kumar Panda were the first, second and third lowest tenderers. Having regard to the communication dated 14.3.2005 of the Superintendent of Post Offices not to take note of Term Deposit for Rs.1,70,000, the Committee held that the EMD submitted by fifth respondent was invalid and consequently his tender was 'non-r........