Rejecting the National Highways Authority of India’s (NHAI) contention against an arbitral tribunal award, the Delhi High Court has asked the state-run agency to pay a sum of nearly Rs 143 crore to PNC Infratech Limited within eight weeks for causing delay in the widening of National Highway 24 between Garhmukteshwar and Moradabad.
NHAI had in 2005 signed a contract with a joint venture of PNC Infratech Limited and Bhageeratha Engineering Limited (BEL) for widening of NH-24 between Garhmukteshwar and Moradabad as well as construction of a Road-Over-Bridge (ROB) for a total cost of Rs 221 crore. The project was scheduled to be completed in 2007. Owing to delays on account of NHAI failing to get the requisite clearances for the project, the road widening project was completed with a delay of 22 months, while the ROB was completed after a significant delay of 45 months.
