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B-179878 1 (1973-11-15)

handle is hein.gao/gaobaadur0001 and id is 1 raw text is: 





   -'   fu               COMPTROLLER GENERAL OF THE UNITED STATES
                                      WASH-INQTON, D.C. 410548


         1-179878                         November 1, 1973



         Petrof Trading Company, Incorporated
         1703 University Avenue
         Berkeley, California  94702

               Attentions ir. Julius Petrofaky

         Contlamen:

               This is In reply to your letter datod October 13, 1973, with
         enclosurcs, protesting the contract award of Lont 178, undcr uolea invi-
         tntir far bide (iF,) No, 41-4006, iunucd by the DefCns   Property
         Dlcposul fRagion-Oden, covering light aid heavy unprepared steel scrap.

               Bids were opened on Auguot 7, 1973, and a contract award for item
         178   ,a nade an ki,ust 14, 1973. Wc utidcrstarid that thereafter you
         h:d occvoion to exmuinu the contents of ite 178 and you now contend
         that the invitctioi description was either falsa or rncnan1ngleos becatn
SJIt did riot convey the material's potentinl usability after demilitartna-
         tlon, You believe, horofore, tbat the Gov.-rnrent war deprived of a
         hiphcr sale price vhich it would have received 4ad such potential uso
         bco. int forth. Accordingly, you requust wtho  the Govenment rtLfuue
         to ru:lirquioh porwcanion of the material rnd that the lot be reoffered
         for snie.

               Even assuming that the Item description does not fully convey the
         potential usability of its contents, it appears that a valid contract for
         the sale of scrap m.tal has bean eacuted.   In our opinion, the action
         ybu suagaot uould be justified at this poa.t in tiua only if the subject
         contract wara so clearly illosal as to render it.a nullity.  John ReiUQr
         & Co. v. United St.te., 325 F. 2d 438, 440 (;t. ,Cl.1963), cur, denied,
         377 MS. 931 (1964).-Wo do not find that yo'ar correnpondence provider'
         nubotantial evidence 6f nu,;h illegality,

               Accordingly/'wa are closing out file in the matter without further
         action.

                                             Sincerely yours,

                                             * PAULG. MSLU4G BEST DOCUMENT AVAIrIAFr
                                    •Vor, the Comptroller Gneral
                                             of ti' United Statan
                     #00/d4    -

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