Award of contract of vehicles number plates: SHC dismisses plea against cabinet decision

KARACHI: The Sindh High Court on Tuesday dismissed a petition against the cabinet decision with regard to the award of a contract to the federal government’s corporate body for supplying number plates of vehicles having radio frequency identification.

Petitioner Syed Ghulam Mohiuddin and others had assailed the decision to award the contract to a corporate body under the Ministry of Defence for supplying RFID technology vehicle number plates for the Sindh province without inviting a tender under the provisions of the Sindh Public Procurement Act, 2009 and Rules 2010.

The petitioners submitted that they also had the capability to manufacture and supply the said number plates. They submitted that the provincial cabinet decided to award the contract to the respondent in exercise of powers conferred under Section 21 of the procurement law that exempted the procurement from the operation of SPPA 2009.

The counsel submitted that the provincial government had not provided any proper rationale for invoking Section 21 of the Sindh Public Procurement Act, 2009, besides the concept of national interest, which is required when invoking Section 21 has neither been discussed nor explained by the respondents.

The provincial law officer argued that the Excise, Taxation & Narcotics Control Department was responsible for registration of all types of motor vehicles under the Motor Vehicles Ordinance 1965 and Motor Vehicles Rules 1969.

He submitted that the respondent body working under the Ministry of Defence approached the Government of Sindh and gave a presentation for supply of number plates with the feature of RFID/Global System for Mobile Communication (GSM) Tracking and Storage products on turnkey basis.

He submitted that the matter was placed before the provincial cabinet for government-to-government arrangement, which was approved by invoking Section 21(1) of the Sindh Public Procurement Act, 2009.

He submitted that the petitioners have no right to challenge the policy decision of the government to opt for preferred technology in the larger public interest.The SHC’s division bench, headed by Justice Mohammad Ali Mazhar, observed that the decision to award a contract by the Sindh government to the federal government’s corporate body cannot be considered a transaction based on misprocurement nor it can be considered a violation or infringement of articles 4, 9, 18 and 25 of the Constitution of Pakistan.

The court observed that neither the petitioners succeeded to substantiate any mala fide intention or ulterior motives on the part of the Sindh government that the exemption was granted to provide any preferential treatment or favoritism nor established that while granting an exemption to enter into a contract on fulfillment and ensuring certain conditions, the Sindh government was somewhat engaged or committed any corrupt and fraudulent practices.

The court observed that the exemption was granted by the cabinet under Section 21 of SPPA 2009, which cannot be declared illegal or contrary to the powers conferred by the statute and dismissed the petition.