Tripura High Court Quashes Smart Card Tender, Orders Fresh Bidding, Transport Department Faces Judicial Setback

By Our Correspondent

Agartala, July 14, 2026

In a significant setback for the Tripura Transport Department, the Tripura High Court has quashed the award of a multi-crore tender relating to the Smart Card-based Driving Licence and Vehicle Registration Certificate project, declaring the entire selection process arbitrary, unreasonable, mala fide and violative of Article 14 of the Constitution. The Court has directed the State Government to initiate a fresh tender process immediately.

The case pertained to the selection of a private agency for implementing the Smart Card Driving Licence and Vehicle Registration Certificate project in Tripura. The petitioner, M-Tech Innovations Ltd., which had successfully executed the project for nearly five years, challenged its disqualification from the tender process after its technical bid was declared non-responsive without assigning any reasons.

After examining the records, the Division Bench observed that the authorities had ignored relevant documents submitted by the petitioner, misinterpreted the tender conditions and selectively applied eligibility criteria in favour of another bidder. The Court held that the Transport Department deliberately disqualified the petitioner with the intention of favouring the successful bidder.

The High Court consequently set aside the work order issued to the successful bidder as well as the agreement executed between the State Government and the company. It also directed the Transport Department to float a fresh tender without delay. Additionally, the Court imposed litigation costs of Rs.20,000 each on the State respondents and the selected company, payable to the petitioner within six weeks.

According to the judgment, the State's attempt to justify the petitioner's disqualification by relying on an incorrect interpretation of the tender conditions was rejected by the Court. The Bench observed that the authorities could not arbitrarily reject a technically qualified bidder while overlooking similar deficiencies in another bidder's documents.

The Request for Proposal (RFP) for the Smart Card project was issued on 28 December 2022, when the Transport Department was headed by Pranajit Singha Roy under the First Manik Saha Government. The contract was subsequently awarded after the formation of the new government in 2023.

Following the 2023 Tripura Assembly elections, Sushanta Chowdhury assumed charge as Transport Minister after the formation of the Second Manik Saha Ministry.

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