Sending Contractors on a Holiday: Proposed Rules for an Integrated and Seamless Approach in the Ministry of Defence to Debarment and Suspension of Erring Entities

Abstract

This short working draft suggests new rules for debarment and suspension of erring entities in the Ministry of Defence in India, in light of inadequate outcomes arising out of integrity pacts. Section II of the paper contains proposed rules based on Indian case law and practices, as well as other international best practices such as the US FAR, the new EU Public Procurement Directives, the World Bank Sanctions System and the UNCITRAL Model Law on Public Procurement. The current draft/working paper version is Version 3.0; and includes stakeholder suggestions received by the Author while drafting similar rules for debarment and suspension of erring entities (including rules for non-renewal of registration, cancellation of registration and demotion of registered contractors/firms) for the State Government of Chhattisgarh in India.

Keywords: India, Defence, Public Procurement, Government Contracts, Debarment, Suspension, Blacklisting, Banning, Integrity

JEL Classification: K12, K23