ALSO READPay Rs 60 cr to DAMEPL lender towards interest: HC to DMRC Reliance Infra gains after arm wins arbitration against Delhi Metro Consider paying Rs 60cr to DAMEPL to pay interest: HC to DMRC RInfra wins Rs 2,950-cr arbitration award against DMRC HC seeks DMRC stand on concessionaire plea for award payment
The DMRC had moved the apex court against the Delhi High Court's order that asked it to pay Rs. 60 crore as three months interest to a lender of Delhi Airport Metro Express Private, a former concessionaire for airport express line.
The DMRC has challenged the June 7 order of the High Court that upheld its single judge order asking it to pay the three months interest to DAMEPL.
This was ordered after DAMEPL, a subsidiary of Reliance Infrastructure, had sought early payment of the award, claiming it was paying Rs. 65 lakh per day to its lenders, comprising public and other banks, since the termination of its agreement with DMRC to run the Airport Metro line.
The DMRC in its appeal sought stay on the interim order on the grounds that it would amount to partial implementation of the award and would also be akin to dismissal of its objections against enforcement of award.
The Anil Ambani company had claimed a total compensation of Rs. 4,670 crore, which includes the penalty and the interest on it, from DMRC.
The compensation awarded by the arbitral tribunal in May covers damage as a result of a breach by DMRC of its obligations under the concession agreement and material adverse effect on the ability of DAMEPL to perform its obligations under the concession pact.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)