Para 10.8 — GOODS_MANUAL

10.8. Disposal through Auction 1. A ministry or Department may undertake an auction of goods to be disposed of either directly or through approved auctioneers; 2. The basic principles to be followed here are like those applicable for disposal through the advertised tender to ensure transparency, competition, fairness, and elimination of discretion. The auction plan, including details of the goods to be auctioned and their location, applicable terms and conditions of the sale, and so on, should be given wide publicity in the same manner as is done in the case of the advertised tender; 3. For entering and participating in the Auction, an EMD shall be taken from all bidders in the form of a bank draft/pay order drawn on any of the commercial banks in favour of the officer concerned, as mentioned in the Auction Catalogue. While starting the auction process, the condition and location of the goods to be auctioned, applicable terms and conditions of sale, and so on (as already indicated earlier while giving wide publicity to it) should be announced again for the benefit of the assembled bidders; 4. During the auction process, acceptance or rejection of a bid should be announced immediately on the stroke of the hammer. If a bid is accepted, SD (not less than 25 (twentyfive) per cent of the bid value) should immediately be taken on the spot from the successful bidder either in cash or in the form of deposit-at-call-receipt, drawn in favour of the FA of the disposing organisation. The goods should be handed over to the successful bidder only after receiving the balance payment as in the case of sale through tenders; 5. The CA shall decide the composition of the auction team. The team should preferably include an officer of the internal finance wing of the Department and a representative of security staff.