Section 17(1) in The U.P. Excise Licences (Tender-Cum-Auction) Rules, 1991
(1)(i)After opening the tenders or after receiving tenders or bids under Rule 16 for consideration, if the highest bid is obtained through tender, the Licensing Authority before accepting the same under sub-clause (ii) shall inform to the Excise Commissioner all facts on the same day in that connection. The Excise Commissioner in the interest of State revenue may direct the Licensing Authority either to accept the highest tender so received or to take bids again over and above the amount of licence fee offered in that tender.(ii)The Licensing Authority shall consider all the bids and take decision as far as possible the same day regarding the settlement of licences. The Licensing Authority shall take decision which is best in the interest of State revenue and is not bound to accept the highest or any bid. In case the highest bid is not proposed to be accepted and the Licensing Authority decides to consider the next higher bid, the same shall immediately be reported to the Excise Commissioner alongwith reasons for not accepting the highest bid. The Excise Commissioner may either accept one of the bids received at the auctions or order reauction.
