The Ministry of Finance has introduced a new rule to impose fines on bidders, suppliers, and contractors participating in state tenders. This regulation clarifies penalties for offenses that were not previously specified in the Finance Rules and Finance Act.
The new rule outlines 16 offenses, including submitting incorrect documents, concealing information, and obstructing other bidders. The Procurement Appeal Board will investigate and act against violations.
Under the rule, offenders may face fines of up to 2.5% of the total bid price, with penalties assessed based on the severity of the offense. Suspension from bidding can last from 3 months to 1 year for first offenses, 2 to 3 years for second offenses, and up to 5 years for further violations. Suspension may be extended if new offenses occur within 3 years of a prior suspension.
Affected parties will be informed of the reasons for fines and suspensions and will have 5 business days to respond. They also have the option to request a retrial under the new regulations.