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, following a rap from the Supreme Court. The tender was allegedly awarded to Hyderabad-based Megha Engineering, despite L&T offering a lower bid. The Supreme Court closed L&T’s plea, citing public interest.
The tender in question was for two major infrastructure projects in Mumbai, including the development of the Eastern Freeway and the construction of a metro rail project. The tender was floated by the MMRDA, which is responsible for developing infrastructure projects in the Mumbai metropolitan region.
L&T had bid for the project, offering a lower price than Megha Engineering, which was the winning bidder. However, L&T alleged that it was unfairly disqualified from the bidding process. The company approached the Supreme Court, seeking relief and a direction to the MMRDA to re-evaluate the bids.
The Supreme Court, while hearing L&T’s plea, was critical of the MMRDA’s decision to award the tender to Megha Engineering. The court observed that the disqualification of L&T was arbitrary and not based on any valid grounds. The court also noted that the tender process was not transparent and did not follow the guidelines set by the government.
In light of the Supreme Court’s observations, the MMRDA was forced to scrap the tender and initiate a fresh bidding process. The decision to scrap the tender was taken after a meeting of the MMRDA’s governing body, which decided that it was in the best interest of the public to re-evaluate the bids and ensure that the tender is awarded to the lowest bidder.
The decision to scrap the tender has been welcomed by L&T, which had been fighting the case in the Supreme Court. The company’s officials have expressed relief that the Supreme Court has intervened and ensured that the tender is re-evaluated. “We are pleased that the Supreme Court has recognized the arbitrary and unfair disqualification of L&T and has directed the MMRDA to re-evaluate the bids,” said an L&T official.
The decision to scrap the tender has also been welcomed by infrastructure experts, who have called it a major victory for transparency and fairness in the tendering process. “This decision sends a strong message that the government is committed to ensuring that the tendering process is transparent and fair,” said an infrastructure expert.
The MMRDA’s decision to scrap the tender is also seen as a major embarrassment for Megha Engineering, which had won the tender despite offering a higher price. The company’s officials have refused to comment on the matter.
The Supreme Court’s decision to close L&T’s plea has also raised questions about the role of the MMRDA and its officials in the tendering process. The court’s observations have highlighted the need for greater transparency and accountability in the tendering process.
In conclusion, the decision to scrap the ₹14,000 crore tender by the MMRDA is a significant development that has far-reaching implications for the infrastructure sector in Mumbai. The Supreme Court’s intervention has ensured that the tender is re-evaluated and awarded to the lowest bidder, thereby ensuring transparency and fairness in the tendering process.
