HC freezes auction process of Cavorem-Maina mineral block

Panaji: The Bombay high court on Thursday stayed further proceedings in the online auction of the Cavorem-Maina Mineral Block No. XVIII after a bidder alleged technical glitches prevented it from fully participating in the bidding process.

Hearing a petition filed by Agravanshi Pvt Ltd, the court observed prima facie that technical issues appeared to have disrupted the online auction, potentially affecting the state’s ability to secure the highest possible bid for the mining block.

The company told the court that bidders were given an eight-minute window to place and revise bids, but due to technical problems, it was unable to continue bidding after the first two minutes. The petitioner submitted screenshots and documents to support its claims.

Justice Jitendra Jain observed that mining rights are valuable state resources and any technical disruption affecting competitive bidding could deprive the state of maximum revenue. “State would be deprived of the benefit of the highest bid which otherwise would have taken place if there were no technical issues,” the court noted.

State govt informed the high court that once the eight-minute bidding period ends, the system automatically notifies the highest bidder and requires payment of a prescribed amount within 45 days. It said that while the highest bidder had been informed, no payment had yet been made.

The court directed state not to accept any deposit from the so-called highest bidder until further orders, adding that any payment made would remain subject to the outcome of the petition. “Till the next date of hearing, no further steps should be taken by respondents pursuant to the above auction and the status quo as of today be maintained,” the HC directed.

It also directed the state to preserve all technical records related to the auction proceedings and place them on record in its reply.