MP high court stays tender process for ads on bus stops
A division bench of MP high court, Jabalpur, stayed the tender process relating to 'display of advertisements on existing bus stops' issued by Bhopal City Links Ltd, a subsidiary company of Bhopal Municipal Corporation.india Updated: Oct 11, 2014 16:31 IST
A division bench of Madhya Pradesh high court, Jabalpur, on Friday stayed the tender process relating to 'display of advertisements on existing bus stops' issued by the Bhopal City Links Ltd (BCLL), a subsidiary company of Bhopal Municipal Corporation (BMC).
The process was stayed by the division bench presided by justice Rajendra Menon and justice Sanjay Yadav, said counsel for the petitioner Siddharth Radhelal Gupta.
He said the interim order came in response of the petition filed by the company — Arc Outdoor Media Ltd, which previously had the contract. The court also show-caused the BMC commissioner and director of BCLL asking them to responding within four weeks as to why the whole tender process was not cancelled.
Gupta said the BMC on a public-private partnership (PPP) basis had invited tenders and entered into built-operate-transfer agreement for the construction of bus stops, their maintenance and advertisement display rights over more than 100 locations in the city of Bhopal.
"The contractor company completed construction of around 100 bus stops in 2011 itself, for which the completion certificate was also issued. The contractor was thus entitled for earning revenue by display of advertisements and hoardings on the bus stops for a period of five years," he said.
Gupta said that while the contractor was continuing with the contract, in September 2013, BMC started dismantling the bus stops.
"The high court at the relevant point of time stayed the demolition process by BMC, while petition remains pending. Meanwhile, BCCL issued the fresh tender process inviting tenders on a national level from various companies for the display of advertisement / hoardings on such constructed bus stops. This tender process was challenged by the contractor company on the principal ground that the duration of their contract with the BMC hadn’t got over, which is exists till 2016," he said.