A petition was filed by Hubert B V, a company from Netherlands, after the Mayor-In-Council took a decision to award the contract for the lagoons to Gammon India despite the latter quoting a higher price. While Hubert B V had quoted Rs 12.26 crore for the lagoons, Gammon India had quoted Rs 24.86 crore.

The international tenders for the lagoons had been opened on May 7, 1998. Gammon India had been chosen from among the seven companies that had bid for the contract, and it was awarded the contract on June 12. Hubert B V, through its counsel Rafiq Dada, argued that BMC's own consultants, Binnie & Partner, had felt that its bid was the mostresponsive.

The division bench directed that the BMC re-evaluate the bids through the three World Bank-approved consultants -- Woodward Clyde, Australia, Lehnmeyer International, Germany and Secureca Consulting Engineers, Paris, France -- and re-award the contract on their recommendations.