Delhi HC restrains IOCL from invoking bank guarantee furnished by Punj Lloyd

MUMBAI: The Delhi High Court has restrained Indian Oil Corporation from encashing bank guarantees of around Rs 203 crore furnished by engineering, procurement and construction firm Punj LloydNSE 0.00 % in connection with a contract for certain work at Haldia Refinery in West Bengal.

Justice C Hari Shankar in his order earlier this month had also restrained the state-owned oil marketing firm from invoking two other bank guarantees furnished by the company.

“…till the expiry of the period of one week from the lifting of the lockdown, imposed by the central government consequent to an n-Covid-2019 pandemic, IOCLNSE 1.47 % shall remain injuncted from encashing/invoking the aforesaid three bank guarantees,” the court said while dealing with one of two petitions filed by Ashwini Mehra, resolution professional of Punj Lloyd.