MMRDA Scraps ₹14,000 Crore Tender After SC Rap in L&T Plea
In a significant development, the Mumbai Metropolitan Region Development Authority (MMRDA) has scrapped two major infrastructure tenders worth ₹14,000 crore, just days after the Supreme Court closed a plea by Larsen & Toubro (L&T) alleging unfair disqualification. The tender was allegedly awarded to Hyderabad-based Megha Engineering, which offered a higher bid compared to L&T.
The tender in question was for the construction of a Metro rail project and a Coastal Road project in Mumbai. The MMRDA had awarded the contracts to Megha Engineering, despite L&T offering a lower bid. L&T had approached the Supreme Court, alleging that it was unfairly disqualified from the tender process and seeking cancellation of the contract.
The Supreme Court, however, closed the plea, citing public interest. The court observed that the MMRDA had cited public interest as the reason for cancelling the tender, and therefore, L&T’s plea was not maintainable.
The MMRDA’s decision to scrap the tender is seen as a significant victory for L&T, which had been seeking cancellation of the contract since the tender was awarded to Megha Engineering. The company had argued that the tender process was flawed and that it was unfairly disqualified from the bidding process.
The MMRDA’s move to scrap the tender is also seen as a major embarrassment for Megha Engineering, which had been awarded the contract despite offering a higher bid. The company had been accused of colluding with MMRDA officials to secure the contract, but no evidence of collusion was found during the investigation.
The MMRDA’s decision to scrap the tender is seen as a major boost to the credibility of the authority, which has been facing criticism for its handling of the tender process. The authority had been accused of favoring certain contractors and ignoring the rules and regulations of the tender process.
The MMRDA’s decision to scrap the tender is also seen as a major relief to the people of Mumbai, who were looking forward to the completion of these infrastructure projects. The Metro rail project was expected to improve the public transportation system in Mumbai, while the Coastal Road project was expected to reduce traffic congestion on the city’s roads.
The MMRDA’s decision to scrap the tender is seen as a major victory for transparency and accountability in public contracts. It sends a strong message that public authorities cannot award contracts to companies that do not follow the rules and regulations of the tender process.
In conclusion, the MMRDA’s decision to scrap the ₹14,000 crore tender after the Supreme Court closed L&T’s plea is a significant development in the context of public contracts in India. The decision is seen as a major victory for transparency and accountability, and a major embarrassment for Megha Engineering, which had been accused of colluding with MMRDA officials to secure the contract.
