B-175587, APR 20, 1972

B-175587: Apr 20, 1972

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THE COMPANY IS NOT REQUIRED TO FOLLOW DECISIONS OF GAO INTERPRETING THE LEGALITY OF ITS EXPENDITURES. INC.: REFERENCE IS MADE TO YOUR LETTER OF MARCH 24. THE COMPANY IS NOT REQUIRED AS A MATTER OF LAW TO FOLLOW OUR DECISIONS INTERPRETING THE LEGALITY OF ITS EXPENDITURES. WE REGRET THAT WE ARE UNABLE TO OFFER ANY ASSISTANCE IN THIS MATTER.

B-175587, APR 20, 1972

BID PROTEST - SCOPE OF GAO AUTHORITY - STATUTORY LIMITATION CONCERNING A PROTEST OF CENTRAL INTERNATIONAL OF PANAMA, INC., AGAINST REJECTION OF ITS BID UNDER AN IFB ISSUED BY THE PANAMA CANAL COMPANY. PURSUANT TO SECTION 65 OF TITLE 2 OF THE CANAL ZONE CODE, THE COMPANY IS NOT REQUIRED TO FOLLOW DECISIONS OF GAO INTERPRETING THE LEGALITY OF ITS EXPENDITURES. B-171211, JANUARY 7, 1971. ANY DETERMINATION GAO MIGHT MAKE WITH REGARD TO A PROTEST AGAINST A PROCUREMENT ACTION BY THE COMPANY WOULD BE ADVISORY ONLY AND THE COMP. GEN. MUST DECLINE TO RENDER A DECISION ON THAT BASIS.

TO CENTRAL INTERNATIONAL OF PANAMA, INC.:

REFERENCE IS MADE TO YOUR LETTER OF MARCH 24, 1972, PROTESTING THE REJECTION OF YOUR BID BY THE PANAMA CANAL COMPANY UNDER INVITATION FOR BIDS (IFB), SERIAL NO. PC-72-25.

SECTION 65 OF TITLE 2 OF THE CANAL ZONE CODE SETS FORTH IN PART THE GENERAL POWERS OF THE PANAMA CANAL COMPANY AS FOLLOWS:

"(A) THE PANAMA CANAL COMPANY MAY:

(3) SUE AND BE SUED IN ITS CORPORATE NAME, ***

(5) DETERMINE THE CHARACTER OF, AND NECESSITY FOR, ITS OBLIGATIONS AND EXPENDITURES AND THE MANNER IN WHICH THEY SHALL BE INCURRED, ALLOWED, AND PAID, AND INCUR, ALLOW, AND PAY THEM, *** "

IN VIEW THEREOF, THE COMPANY IS NOT REQUIRED AS A MATTER OF LAW TO FOLLOW OUR DECISIONS INTERPRETING THE LEGALITY OF ITS EXPENDITURES. B 171211, JANUARY 7, 1971. ANY DETERMINATION THIS OFFICE MIGHT MAKE WITH REGARD TO A PROTEST AGAINST A PROCUREMENT ACTION BY THE COMPANY WOULD THEREFORE BE ADVISORY ONLY, AND WE MUST DECLINE TO RENDER A DECISION ON THAT BASIS.

WE REGRET THAT WE ARE UNABLE TO OFFER ANY ASSISTANCE IN THIS MATTER.