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No Alteration of BOQ Once Financial Bids Opened
The Hon’ble Supreme Court of India, in the case of Prakash Asphaltings and Toll Highways (India) Limited v. Mandeepa Enterprises and Others, (2025 SCC OnLine SC 1959), dated September 12, 2025, held that once financial bids in a tender are opened, a bidder cannot amend, reinterpret, or rectify its bid under any circumstances, even if there is a bona fide mistake.
The controversy arose from a tender floated by the Public Works (Roads) Directorate, Government of West Bengal on October 17th, 2023, for Road User Fee (RUF) collection on the Dankuni-Chandannagar-Mogra stretch of State Highway (SH) 13 for a period of 1095 days. The tender documents mandated bidders to quote a consolidated amount for the entire period in the prescribed Bill of Quantity (BOQ), with Clause 4(g) explicitly prohibiting any alteration of the BOQ template ‘under any circumstances.’ Out of the seven bidders, four bidders, including the appellant, Prakash Asphaltings and Toll Highways (India) Limited, and respondent, Mandeepa Enterprises, were technically qualified.
Upon opening of the financial bids, the appellant was declared the highest bidder, (H1) with an offer of Rs. 91.19 crores/- while the respondent was ranked the lowest bidder (H4) having quoted Rs. 9.72 lakhs/-. Post-opening of the bids, the respondent, sought to rectify its bid, contending that the quoted amount was a ‘per day’ rate and should be multiplied by 1095 days, thereby making its bid Rs. 106.54 crores/- and the highest.
The tendering authority rejected this request stating that it would impact the sanctity of the tender process. Despite a Single Judge bench of the Hon’ble High Court of Calcutta upholding the rejection, a Division Bench of the Hon’ble High Court of Calcutta allowed rectification by relying on Clause 5B(v) of the Instructions to Bidders (ITB), holding that the tendering authority could seek clarifications and that other bidders should be allowed to match the corrected rate. Aggrieved, the appellant approached the Supreme Court.
The Hon’ble Supreme Court found that permitting rectification after opening of the financial bids would unsettle the tender process and undermine its sanctity. The Court held that Clause 5B(v) empowers the tendering authority to seek clarifications regarding documents already submitted but does not extend to altering the financial bid. Clause 4(g) of the tender imposed a categorical restriction on the modification of the BOQ template. On scrutiny of the BOQ submitted by the respondent, it was noted that the amount of Rs. 9.72 lakhs/- was entered in both figures and words as the consolidated bid for 1095 days, thereby negating the plea of inadvertent error.
The Court also underscored that the appellant, being the declared H1 bidder, was a necessary party in the High Court proceedings; its non-impleadment and consequent lack of hearing vitiated the Division Bench’s decision. Further, while recognising that maximising revenue is a facet of public interest, the Supreme Court clarified that adherence to the tender terms and maintenance of the sanctity of the bidding process are equally, if not more, significant.
This judgment reaffirmed that once financial bids are opened, no rectification is permissible, even for bona fide mistakes. It upholds the sanctity of the tender process and the strict adherence to its terms.
