Victoria Insglass Limited v Kira Municipal Council [2025] UGPPDPAAT 34
Observed later treatment
No later-treatment classification is recorded for this judgment.
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Holding
The Tribunal held that it had jurisdiction to review the procurement cancellation decision. The Accounting Officer's administrative review decision was made outside the statutory 10-day timeline and was therefore null and void. The procurement cancellation was unlawful because it occurred after contract award, contrary to section 81(1) of the Public Procurement and Disposal of Public Assets Act. The best evaluated bidder's tax clearance certificate was submitted after the bid deadline and illegally considered. The Applicant's disqualification based on user department dissatisfaction and staff misconduct was invalid as these were not stated evaluation criteria. The application was allowed and the procurement process ordered to be re-evaluated.
Outcome
Application allowed; Notice of Best Evaluated Bidder and procurement cancellation set aside; matter remitted for re-evaluation within 10 working days
Facts
In May 2025, Kira Municipal Council invited bids for revenue collection enforcement services. Two bids were received: from Continental Looks Limited and Victoria Insglass Limited. On July 8, 2025, Continental Looks Limited was declared the best evaluated bidder at a contract price of UGX 1,131,472,000 with a 15% commission. Victoria Insglass Limited's bid was rejected on grounds that the user department was dissatisfied with the service provider's field operations due to staff misconduct. Victoria Insglass filed an administrative review complaint on July 9, 2025. The Accounting Officer responded on July 22, 2025, finding merit in the complaint but deciding to cancel the procurement. The Contracts Committee approved the cancellation on July 21, 2025. Victoria Insglass then filed this application before the Tribunal on July 28, 2025, challenging the procurement decision and cancellation.
Issues
- Whether the Tribunal has jurisdiction to entertain this Application?
- Whether the Accounting Officer erred in law and fact when he omitted to make a response within the timelines stipulated by law?
- Whether the Respondent's cancellation of the procurement was lawful?
- Whether the bid of Continental Looks Ltd was responsive to the requirement for a tax clearance certificate?
- Whether the reason for the disqualification of the Applicant's bid was valid?
Orders
- The Application is allowed.
- The Notice of Best Evaluated Bidder dated July 8, 2025, is set aside.
- The cancellation of the procurement is set aside.
- The Respondent is ordered to re-evaluate the bids in a manner not inconsistent with this decision, the bidding document, and the law.
- The re-evaluation shall be conducted within 10 working days from the date of this decision.
- The Respondent shall refund the Applicant's administrative review fees.
- The Tribunal's Suspension Order dated July 8, 2025, is vacated.
- Each party to bear its own costs.
Rules and key headnotes
Legislation cited (10)
- Public Procurement and Disposal of Public Assets Act Cap 205 s.81(1)
- Public Procurement and Disposal of Public Assets Act Cap 205 s.81(2)
- Public Procurement and Disposal of Public Assets Act Cap 205 s.82
- Public Procurement and Disposal of Public Assets Act Cap 205 s.106(7)
- Public Procurement and Disposal of Public Assets Act Cap 205 s.115(3)(a)
- Public Procurement and Disposal of Public Assets Act Cap 205 s.76(3)
- Public Procurement and Disposal of Public Assets (Contracts) Regulations 2023 reg.2(1)
- Public Procurement and Disposal of Public Assets (Contracts) Regulations 2023 reg.2(2)
- Public Procurement and Disposal of Public Assets (Contracts) Regulations 2023 reg.2(3)
- Public Procurement and Disposal of Public Assets (Evaluation) Regulations 2023 reg.5
Cases cited (9)
- Kingdom Kampala Limited v Judicial Service Commission (Application No. 34 of 2022)
- Mulago Hill Diagnostics Ltd v National Water and Sewerage Corporation (Application No. 13 of 2022)
- Preg Tech Communications v Uganda Police (Application No. 32 of 2021)
- Mugerwa Fred v Sembabule District Local Government (Application No. 23 of 2022)
- Impiger Technologies Private Limited v Higher Education Students Financing Board (Application No. 25 of 2022)
- BUU-Lepu Foundation Ltd v Lira City Council (Application No. 14 of 2025)
- Jilk Construction Company Limited v Kira Municipal Council (Application No. 31 of 2024)
- Global Paper Products Ltd v Uganda National Examinations Board (Application No. 11 of 2023)
- Elite Chemicals Limited v Uganda Coffee Development Authority (Application No. 7 of 2021)
Full judgment
The original judgment as reported. Read the original PDF before relying on any passage.