Plight of sub-contractors in ‘stuck’ projects
The plight of sub-contractors in infrastructure projects was highlighted by the Delhi High Court in its recent judgment in Apco-Titan (Jv) vs National Highways & Infrastructure Development Corporation. If the main contractor is facing insolvency proceedings before the National Company Law Tribunal, as IL&FS in this case, the construction work will be labelled “stuck projects” and there is little relief for sub-contractors. In this case, Apco was a sub-contractor and an IL&FS subsidiary was the main contractor. Since they are before the tribunal, there is a stay on all payments. The project — part

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