NMC legal dept snubs bid to favour one agency in advt rights on buses

| TNN | Nov 26, 2018, 03:38 IST
Nagpur: The Nagpur Municipal Corporation (NMC) city transport department’s bid to favour a particular private agency in giving advertisement rights on 387 Red buses has been foiled. The civic body’s legal department has suggested that the city transport department continue with ongoing tendering process instead of starting a fresh one.
Now, the city transport department has no option other than to open technical and financial bids that were put on hold for over three-and-a-half-months. Sources from city transport department told TOI the bids will be opened within a week.

If the ongoing tendering process continues, the cash-strapped civic body will begin to get some revenue from advertisement rights on 387 Red buses soon. NMC had launched new city bus service — Aapli Bus — in December 2016. Since then, NMC did not go for advertisement rights on 387 Red buses despite the city bus service running in huge financial losses.

The city transport department started tendering process in July. Unfortunately, the tendering process was marred by controversy. In a bid to favour a particular private agency, some agencies were not allowed to submit bids. One of the agencies — Om Advertisers — filed a petition in the Nagpur bench of Bombay High Court, which directed the department to accept the bids. Then, the bids of Om Advertisers and others were accepted. The technical bids were supposed to be opened on August 8.


However, the department delayed opening of the bids citing objections from some participants. In another attempt to favour a particular private agency, the department took a decision to abandon ongoing tendering process and start a fresh one.


Couple of agencies were about to approach the HC if the department discontinued ongoing tendering process. Fearing more litigation, the department sought legal view on whether to continue ongoing tendering process or go for fresh one.


The civic body is expected to earn revenue of over Rs5 crore from advertisement rights on 387 Red buses in three years.


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