Para 3.8.2 - Debarred Firms | KartavyaDesk

Original Rule Text

debarred on the date of contract (i.e., date of issue of Letter of Acceptance). Even in the cases of risk purchase, no contract should be placed on such debarred firms. c) If any debarred firm submits the bid, it will be ignored. In case such firm is lowest (L1), the next lowest firm shall be considered as L-1. Bid security submitted by such debarred firms shall be returned to them. d) Contracts concluded before the issue of the debarment order shall not be affected by the debarment Orders. e) The Debarment shall be automatically extended to all its allied firms. In case a joint venture/ consortium is debarred, all partners will also stand debarred for the period specified in the Debarment Order. The names of partners should be clearly specified in the “Debarment Order.” f) Debarment in any manner does not impact any other contractual or other legal rights of the procuring entities. g) The period of debarment shall start from the date of issue of the debarment order for the issuing entity. In respect of procuring entities other than the one that has carried out the debarment, the debarment takes effect prospectively from the date of uploading on the website(s) in such a manner that ongoing procurements are not disrupted. h) Ordinarily, the period of debarment should not be less than six months. i) The GeM portal also has a provision for Suspension (debarring vendors/ service providers' participation in procurements of all the buyers) under its Incidence Management Policy36. The reasons and periods for suspension are different than in the provisions mentioned above. However, if a procuring entity feels that the period of suspension by GeM is not adequate, it may also debar the firm as per the procedure mentioned in this section for a more appropriate period, but such debarment shall be applicable ONLY to procurements by that procuring entity. j) All Ministries/ Departments must align their existing Debarment Guidelines in conformity with these Guidelines. Further, bidding documents must also be suitably amended, if required.

What This Means

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Key Points

• •Debarred firms are ineligible for contracts issued after the debarment date, even in risk purchase scenarios.
• •Bids from debarred firms are ignored, and their bid security is returned.
• •Debarment extends to allied firms and all partners in a debarred joint venture/consortium.
• •The debarment period typically starts from the date of the debarment order and is usually at least six months.
• •Individual procuring entities can impose debarment even if a firm is only suspended on GeM, but such debarment applies only to that entity's procurements.

Practical Example

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.

Frequently Asked Questions

This explanation was generated with AI assistance for educational purposes. Always refer to the official gazette notification for authoritative text.