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Time of India
a day ago
- Business
- Time of India
Relief to L&T: MMRDA scraps Rs 14,000-crore Thane-Bhayander tunnel project, SC told
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel In a relief to Larsen & Toubro, the Mumbai Metropolitan Region Development Authority ( MMRDA ) on Friday told the Supreme Court that it has decided to scrap the Rs 14,000-crore Thane-Ghodbunder to Bhayander tunnel and elevated road projects in the Mumbai Metropolitan Region.L&T, India's biggest engineering company by market capitalization, which was disqualified, had last week moved the SC seeking a stay on the opening of financial bids for the two infrastructure projects Senior counsel Mukul Rohatgi told a Bench led by Chief Justice BR Gavai that the entire tender process is being scrapped in the 'larger public interest .'Accepting the MMRDA's stand, the CJI disposed of the L&T's appeal as 'infructuous."The MMRDA had decided to scrap the tender after the Supreme Court had raised concerns over Monday, the CJI had wondered how L&T, which was chosen by the central government for the construction of the Central Vista project in the Capital, had failed to pass muster for the Mumbai projects. It had then asked the Authority whether a re-tender could be issued for the project. "This is thousands of crores of public money. Please take we will stay this order (of Bombay High Court)," the top court had two mega infrastructure projects undertaken by MMRDA will link Thane and Mira-Bhayandar through five-km twin tunnels of 14.6 metres diameter from Gaimukh to Fountain Hotel junction at Shilphata. This project is worth Rs 8000 elevated creek road bridge of 9.8 km worth Rs 6,000 crore will connect Bhayandar to Ghodbunder Road in Thane. The proposed bridge would be the second-longest in the MMR, after the Mumbai Trans Harbour Link, also known as Atal Setu.L&T, in its appeal, said it had not been informed about the status of its bids and it came to know about its disqualification only during the hearing of the petition on May 13. The company was one of the bidders for the project and had submitted its technical bid in December."The decision to open financial bids in the absence of the petitioner without intimating them of the outcome of the evaluation of its technical bid is discriminatory and arbitrary and in violation of the principles of natural justice," the appeal to the company, the MMRDA ought to have taken a 'fair' approach. The HC order 'fails to set aside the unlawful and arbitrary tender coming to a categorical finding that the tender conditions were prima facie in breach of the guidelines issued by the Public Works Department , Maharashtra, as well as the Central Vigilance Commission," L&T said in its appeal filed through counsel Raunak HC order 'fails to set aside the unlawful and arbitrary tender coming to a categorical finding that the tender conditions were prima facie in breach of the guidelines issued by the Public Works Department, Maharashtra, as well as the Central Vigilance Commission," Dhillon said.
Time of India
4 days ago
- Business
- Time of India
Supreme court seeks MMRDA say on re-bid for Thane-Bhayandar tunnel-road project after L&T questions lack of relief from HC
Supreme court seeks mmrda say on re-bid for Thane-Bhayandar tunnel-road project after L&T questions lack of relief from HC MUMBAI: The Supreme Court on Monday expressed surprise that MMRDA considered Larsen & Toubro (L&T) technically non-responsive for the Thane tunnel and elevated road projects, despite the construction major having constructed iconic large public infrastructure projects. A bench headed by Chief Justice of India Bhushan Gavai asked Solicitor General Tushar Mehta and senior counsel Mukul Rohatgi, appearing for MMRDA, to take instructions on whether the public authority was willing to re-tender. The court did not pass any orders on Monday but asked MMRDA to re-think its next steps, else it would pass interim orders on Thursday, pending the bidding process, on L&T's challenge. "The very name of the bidder (L&T)…" the CJI said, noting the firm was selected by the Centre to construct the Central Vista project when L&T's challenge against a May 20 Bombay HC vacation bench order came up. The company's counsel did not need to address the court. The SC bench, also comprising Justice A G Masih, posted the matter to Thursday while giving the Mumbai Metropolitan Region Development Authority (MMRDA) time to consider what it asked of it. The SC asked MMRDA to consult the Maharashtra govt on plans to re-tender the Rs 14,000 crore project for the Thane-Ghodbunder-Bhayandar twin tunnel and elevated road project, together stretching around 15-16 km, making it the second longest such project after the 21 km Atal Setu (which L&T, as the largest engineering company, helped build). by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like American Investor Warren Buffett Recommends: 5 Books For Turning Your Life Around Blinkist: Warren Buffett's Reading List Undo The HC vacation bench dismissed L&T's pleas to stay the opening of financial or price bids for the project without informing it of the result of the technical bid round. The MMRDA said L&T and two other bidders out of five were held non-responsive, but it was not obliged under the tender terms to inform the bidders of the result during the bidding process and would do so once the final winning bidder was awarded the contract. L&T argued that PWD guidelines of the state required bidders to be informed of the technical rounds as well. MMRDA said it was not mandatory. The HC cited the public importance of the project, the delay that may ensue, and SC orders in the bullet train project, to not stay the opening of the price bids but asked MMRDA to keep all price bids sealed for two weeks to enable L&T to go in appeal. The HC said the company suppressed certain bid clauses when it came to court and stated the petitioner must come to court with full disclosure. Senior counsel Janak Dwarkadas for L&T before the HC also argued that CVC guidelines on transparency and accountability were being flouted by MMRDA. However, the HC found 'much merit' in the submission of senior counsel AM Singhvi for L&T that the tender terms were contrary to the PWD and CVC guidelines. The HC observed the tender conditions to be prima facie 'opaque and such that could give rise to the tendering authority acting in an arbitrary and non-transparent manner.' But it noted that L&T accepted the terms and participated without challenging them as they should have. L&T rushed to the SC against the HC order, and now the SC will pass orders on Thursday based on what MMRDA comes back with. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Time of India
4 days ago
- Business
- Time of India
SC seeks MMRDA say on re-bid for Thane-Bhayandar tunnel-road project after L&T questions lack of relief from HC
Supreme Court MUMBAI: The Supreme Court on Monday expressed surprise that MMRDA considered Larsen & Toubro (L&T) technically non-responsive for the Thane tunnel and elevated road projects, despite the construction major having constructed iconic large public infrastructure projects. A bench headed by Chief Justice of India Bhushan Gavai asked Solicitor General Tushar Mehta and senior counsel Mukul Rohatgi, appearing for MMRDA, to take instructions on whether the public authority was willing to re-tender. The court did not pass any orders on Monday but asked MMRDA to re-think its next steps, else it would pass interim orders on Thursday, pending the bidding process, on L&T's challenge. "The very name of the bidder (L&T)…" the CJI said, noting the firm was selected by the Centre to construct the Central Vista project when L&T's challenge against a May 20 Bombay HC vacation bench order came up. The company's counsel did not need to address the court. The SC bench, also comprising Justice A G Masih, posted the matter to Thursday while giving the Mumbai Metropolitan Region Development Authority (MMRDA) time to consider what it asked of it. The SC asked MMRDA to consult the Maharashtra govt on plans to re-tender the Rs 14,000 crore project for the Thane-Ghodbunder-Bhayandar twin tunnel and elevated road project, together stretching around 15-16 km, making it the second longest such project after the 21 km Atal Setu (which L&T, as the largest engineering company, helped build). by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like 21st Century Skills Start with Confident Communication Planet Spark Learn More Undo The HC vacation bench dismissed L&T's pleas to stay the opening of financial or price bids for the project without informing it of the result of the technical bid round. The MMRDA said L&T and two other bidders out of five were held non-responsive, but it was not obliged under the tender terms to inform the bidders of the result during the bidding process and would do so once the final winning bidder was awarded the contract. L&T argued that PWD guidelines of the state required bidders to be informed of the technical rounds as well. MMRDA said it was not mandatory. The HC cited the public importance of the project, the delay that may ensue, and SC orders in the bullet train project, to not stay the opening of the price bids but asked MMRDA to keep all price bids sealed for two weeks to enable L&T to go in appeal. The HC said the company suppressed certain bid clauses when it came to court and stated the petitioner must come to court with full disclosure. Senior counsel Janak Dwarkadas for L&T before the HC also argued that CVC guidelines on transparency and accountability were being flouted by MMRDA. However, the HC found 'much merit' in the submission of senior counsel AM Singhvi for L&T that the tender terms were contrary to the PWD and CVC guidelines. The HC observed the tender conditions to be prima facie 'opaque and such that could give rise to the tendering authority acting in an arbitrary and non-transparent manner.' But it noted that L&T accepted the terms and participated without challenging them as they should have. L&T rushed to the SC against the HC order, and now the SC will pass orders on Thursday based on what MMRDA comes back with.
Indian Express
5 days ago
- Business
- Indian Express
Mumbai elevated road and tunnel projects: Re-tender or we will stay, Supreme Court tells MMRDA on L&T plea against rejection of bids
The Supreme Court on Monday said it's difficult to believe that the technical bids of Larsen and Toubro (L&T) Ltd — which was selected for the execution of the Central Vista Project — for the Rs 6,000 crore (approx) Mumbai Elevated Road Project and Rs 8,000 crore (approx) Road Tunnel Project were rejected and asked Mumbai Metropolitan Region Development Authority (MMRDA) whether it was willing to re-tender, failing which, the court warned, it would stay the process. 'The very name of the bidder, it's difficult to believe, he has been chosen to construct the Central Vista by the Central government,' Chief Justice of India B R Gavai presiding over a two-judge bench said. 'Take instructions on whether you are willing to retender. Otherwise we will stay,' the CJI told Solicitor General Tushar Mehta, and Senior Advocate Mukul Rohatgi who appeared for MMRDA. The bench, also comprising Justice A G Masih, was hearing appeals filed by L&T, challenging the two May 20 Bombay High Court orders upholding MMRDA's stand that the reasons for the rejection of the technical bids need not be communicated to L&T before the projects are awarded. The principal ground of L&T's challenge is that it was technically disqualified from the process without any intimation or reasons. It contended that the arbitrary and non-transparent manner of carrying out the tender process has resulted in declaration of the L1 bid for both projects to Megha Engineering & Infrastructure Ltd at a substantially higher project cost. The company claimed that compared to the L1 bidder, its price bid was approximately Rs 2,521 crore less in the Road Tunnel Project and Rs 609 crore less in the elevated road project. L&T had initially challenged the MMRDA's decision to proceed with the opening of the price bids without the presence of L&T, and without communication of any disqualification to it, before the Bombay HC. The same was dismissed via the two orders on May 20, 2025, following which it approached the SC. On Monday, Mehta submitted that the HC had said that all contentions are kept open and even after award of the contract, it can be stayed. The CJI, however, said that will only be an excuse to invoke fait accompli. When Senior Advocate A M Singhvi appearing for L&T said the L1 bidder's bids were about Rs 2,500 crore and Rs 600 crore more than L&T's, Rohatgi submitted that 'question of money doesn't arise if you are disqualified.' The bench, however, did not seem to agree. CJI Gavai said 'question of money also arises if it's a public interest matter', adding, 'you better take instructions. The public money would be saved'. The SG said 'there are good reasons' for the disqualification. Rohatgi added: 'We will show the reasons for disqualification.' He argued that the SC had in 2022 upheld similar clauses of the tender where reasons for disqualification may be intimated after the award of tender. Singhvi's said the 2022 order pertained to foreign-funded projects, and was inapplicable to the facts of the present case. Mehta submitted that said clauses aim to ensure that a tender process is not disrupted due to unnecessary challenges causing delays. Mehta said: 'Dr Singhvi made a request, don't return my price bid. We kept his price bid with us without opening it in a sealed cover. He opened it. We do not know that there is an increase in the price he has quoted.' Singhvi responded, 'I know my price.' CJI Gavai said, 'We are in an era of transparency…if it's arbitrary, the person should have an opportunity to challenge.' Rohatgi said he had no objection but L&T can wait till the financial bids are opened. The CJI said, 'and make it a fait accompli. It would be said the project had already commenced.' Singhvi added that the 'names of the other two left are more important than my name…Their names are very interesting.' The court will hear the matter next on May 29. The Elevated Road Project envisages a 9.80 km bridge passing along the Vasai Creek. It's part of an extension of the Mumbai Coastal Road project and a part of the MMRDA's larger road expansion project involving construction of approximately a 15-km stretch of road from Gaimukh in Thane to Bhayander. The Road Tunnel Project is for Design & Construction of underground road tunnel from Gaimukh to Fountain Hotel Junction on Thane Ghodbunder Road. It envisages 5-km-long twin tunnels of finished diameter of 14.6m estimated at approximately Rs 8,000 crore, which is an extension of the Mumbai Coastal Road project and a part of the MMRDA's larger road expansion project involving construction of approximately 15 km of road from Gaimukh in Thane to Bhayander. Ananthakrishnan G. is a Senior Assistant Editor with The Indian Express. He has been in the field for over 23 years, kicking off his journalism career as a freelancer in the late nineties with bylines in The Hindu. A graduate in law, he practised in the District judiciary in Kerala for about two years before switching to journalism. His first permanent assignment was with The Press Trust of India in Delhi where he was assigned to cover the lower courts and various commissions of inquiry. He reported from the Delhi High Court and the Supreme Court of India during his first stint with The Indian Express in 2005-2006. Currently, in his second stint with The Indian Express, he reports from the Supreme Court and writes on topics related to law and the administration of justice. Legal reporting is his forte though he has extensive experience in political and community reporting too, having spent a decade as Kerala state correspondent, The Times of India and The Telegraph. He is a stickler for facts and has several impactful stories to his credit. ... Read More
Time of India
5 days ago
- Business
- Time of India
Supreme Court directs MMRDA to consult Maharashtra govt on plans to re-tender ₹14,000-cr project
The Supreme Court on Monday directed the Mumbai Metropolitan Region Development Authority ( MMRDA ) to consult the Maharashtra government on whether it plans to re-tender the ₹14,000-crore Thane-Ghodbunder to Bhayander tunnel and elevated road projects in the Mumbai Metropolitan Region. Larsen & Toubro (L&T), India's largest engineering company by market capitalisation, had last week approached the Supreme Court seeking a stay on the opening of financial bids for the tender after being disqualified. "This is thousands of crores of public money. Please take we will stay this order (of Bombay High Court)," a bench led by chief justice BR Gavai told Solicitor General Tushar Mehta, who appeared for MMRDA. The chief justice noted that L&T, the contractor for the Central Vista project, was facing a different situation here, while posting the matter for further hearing on Thursday. Last week, the Bombay High Court rejected L&T's plea for a stay but instructed MMRDA to preserve the price bids submitted electronically for two weeks, allowing the company to appeal to the Supreme Court. Live Events The two infrastructure projects, undertaken by MMRDA, will link Thane and Mira-Bhayandar via twin five-kilometre tunnels, each with a 14.6-metre diameter, from Gaimukh to Fountain Hotel junction at Shilphata. This ₹8,000-crore project will also include an elevated road bridge of 9.8 kilometre, worth₹6,000 crore, connecting Bhayandar to Ghodbunder Road in Thane. The proposed bridge will be the second-longest in the Mumbai Metropolitan Region, after the Mumbai Trans Harbour Link (Atal Setu). In its appeal, L&T stated it had not been informed of the status of its bids and learned of its disqualification only during the May 13 hearing. The company claimed MMRDA should have adopted a "fair" approach. L&T's counsel, Raunak Dhillon, argued that the HC's order failed to address the "unlawful and arbitrary" tender process, despite the court's finding that the tender conditions likely violated guidelines from the Public Works Department of Maharashtra and the Central Vigilance Commission. L&T had submitted its technical bid in December and awaited the outcome. The company recently learned that MMRDA had notified other bidders to be present for the opening of financial bids on May 13, but L&T received no such notice. L&T's appeal emphasized that the Mumbai authority, as a public body, must act in a fair and transparent manner. The company argued that the decision to open financial bids without informing them of the evaluation outcome was discriminatory, arbitrary, and violated principles of natural justice.
