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[Protest of Army Corps of Engineers Rejection of Bid for Failure to Provide Adequate Bid Guarantee]

B-232416: Sep 29, 1988

A firm protested the Army Corps of Engineers' rejection of its bid for failure to provide an adequate bid guarantee, contending that the Army should have accepted the letter of credit it submitted with the additional guarantees it offered. GAO held that the Army properly rejected the bid, since the surety: (1) was under investigation for misrepresenting its financial condition; and (2) had virtual...

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B-232416, Sep 29, 1988, 88-2 CPD 301

B-232416: Sep 29, 1988

PROCUREMENT - Contractor Qualification - Responsibility - Contracting officer findings - Negative determination - Criteria DIGEST: Contracting officer's determination that surety is nonresponsible has a reasonable basis where surety is under investigation by state criminal investigating agencies for misrepresenting its financial condition and where surety has virtually no assets. Dunbar contends t...

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