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Published on Sat, Mar 28,2015 | 15:53, Updated at Sat, Mar 28 at 15:59Source : CNBC-TV18 | Watch Video :
Can a winning bidder lose the auction? The recent coal block auctions threw up an interesting twist when the government rejected the winning bids of Jindal Power and Balco. The news broke on twitter when Coal Secretary Anil Swarup said winning bids for 8 blocks were re-examined and only 5 passed muster. The government rejected Balco's winning bid for Gare Palma IV/1 and Jindal Power's winning bids for Gare Palma IV/2 & 3 and Tara. Coal minister Piyush Goyal says the bids were rejected because they were 'outliers'?!?
Can a winning bid, that has cleared technical eligibility criteria and is above the mandated price thresholds, be rejected for being too low? Can the government's 'outlier' argument sustain in court? To discuss this, Menaka Doshi is joined by well known Counsels, Vikram Nankani and Gopal Jain.
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