'Administrative Action Must Be Judged On Material Available At Relevant Time; Subsequent Developments Cannot Invalidate It': Patna HC

The Patna High Court has reiterated that the validity of administrative action must be assessed on the basis of materials available at the time of decision, holding that subsequent developments cannot be used to invalidate an otherwise lawful action.A Division Bench of Justice Sudhir Singh and Justice Shailendra Singh was hearing a writ petition challenging the decision of the Departmental Tender Committee dated 05.05.2025, whereby the petitioner [despite being declared the lowest bidder (L-1)] was subsequently disqualified after re-evaluation of its technical bid.The petitioner had sought quashing of the decision contained in Memo No. 448 (Mo) dated 05.05.2025, arguing that after being declared technically responsive and financially lowest, the re-evaluation of its bid at the instance of a third party was arbitrary and illegal. The contract was thereafter awarded to another bidder at a lower percentage of the scheduled rate.The disqualification was primarily based on a communication dated 12.04.2025, which indicated that out of 10 ongoing projects attributed to the petitioner, 8 had not been completed.The petitioner contended that the said communication was itself under challenge before the Appellate Authority and interim protection had been granted in its favour. It was argued that in view of such pendency, the authorities ought not to have relied upon the said communication to disqualify the petitioner.The State, on the other hand, submitted that the impugned decision must be evaluated in light of the materials available on the date it was taken. It was further argued that even after reconsideration, the competent authority, by a subsequent order dated 11.12.2025, had again recorded that the petitioner had 8 incomplete projects, thereby justifying the disqualification.The core issue before the Court was whether the subsequent order passed by the Appellate Authority on 17.03.2026 could be applied retrospectively to invalidate the earlier decision of the Tender Committee.Answering in the negative, the Court held that it is a settled principle that administrative decisions must stand or fall on the basis of reasons and materials existing at the time of their issuance.Relying on Mohinder Singh Gill v. Chief Election Commissioner and Afcons Infrastructure Ltd. v. Nagpur Metro Rail Corporation Ltd., the Court observed that subsequent developments cannot ordinarily be invoked to either validate or invalidate an administrative action. The Court held:“Applying the aforesaid settled principles to the facts of the present case, it is evident that on the date of issuance of Memo No. 448 dated 05.05.2025, the communication dated 12.04.2025 was in existence and formed the basis of the impugned decision. The subsequent setting aside of the said communication and remand of the matter would not, by itself, render the earlier decision illegal by putting the clock back. More so, when upon reconsideration, the competent authority, vide order dated 11.12.2025, has again recorded that 08 ongoing projects attributed to the petitioner remained incomplete.”It further noted that even upon reconsideration, the competent authority had reached the same conclusion regarding the petitioner's incomplete projects, reinforcing the basis of the earlier decision.In such circumstances, the Court concluded that the subsequent appellate order could not be given retrospective effect to invalidate the tender decision dated 05.05.2025, which was based on material available at that time.Accordingly, the writ petition was dismissed.Case Title: Ramesh Prasad Gupta v. State of Bihar and Ors.Case No.: Civil Writ Jurisdiction Case No. 8949 of 2025.Appearance: Mr. Prabhat Ranjan appeared for the Petitioner. Mr. Amish Kumar appeared for the State.Click Here To Read/Download Order

'Administrative Action Must Be Judged On Material Available At Relevant Time; Subsequent Developments Cannot Invalidate It': Patna HC

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'Administrative Action Must Be Judged On Material Available At Relevant Time; Subsequent Developments Cannot Invalidate It': Patna HC

Rushil Batra

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