In a notable development, the Supreme Court of India on Friday disposed of engineering giant Larsen & Toubro’s (L&T) plea as infructuous after the Mumbai Metropolitan Region Development Authority (MMRDA) voluntarily decided to cancel its ₹14,000-crore infrastructure tender process.
Senior advocate Mukul Rohatgi, appearing for MMRDA, informed the apex court that the entire tender process—relating to two significant transport infrastructure projects—had been scrapped in the public interest. The bench, led by Chief Justice B.R. Gavai, welcomed the decision and closed L&T’s petition, which had challenged its disqualification on procedural grounds.
L&T had alleged a lack of transparency in the bidding process for the Thane-Ghodbunder to Bhayander project, a vital component of Mumbai’s urban transit development. The firm claimed it had not been informed of its disqualification and that its financial bid—reportedly ₹3,000 crore lower—was never opened.
The Supreme Court had earlier questioned how L&T, known for executing major projects such as Delhi’s Central Vista, could be disqualified, especially considering concerns about the capabilities of other selected contractors. The MMRDA, following the court’s observations, decided to scrap the process entirely.
MMRDA later confirmed it would launch a fresh tender, potentially revising the base project cost downward by ₹3,000 crore to enhance financial efficiency. The projects—valued at ₹6,000 crore and ₹8,000 crore—are expected to ease congestion and improve connectivity between Mumbai’s core and its suburbs.
L&T had first approached the Bombay High Court, which dismissed its plea but allowed the company to preserve its bid and move to the Supreme Court. The current ruling offers L&T another opportunity to compete, though it provides no assurance of contract award.
Source: mint
