Reliance Infrastructure Ltd has secured an arbitral award of Rs 157.64 crore, along with applicable interest, in its dispute with the Mumbai Metropolitan Region Development Authority (MMRDA) over subordinated debt provided to Mumbai Metro One Pvt Ltd (MMOPL).
The company disclosed the development in a regulatory filing, stating that it received the arbitral award dated July 27, 2026. The decision was delivered unanimously by a three-member arbitral tribunal, which ruled in favour of Reliance Infrastructure.
The dispute stemmed from subordinated debt extended by Reliance Infrastructure to MMOPL, the special purpose vehicle responsible for developing, operating and maintaining Mumbai Metro Line 1, which connects Versova, Andheri and Ghatkopar.
MMOPL is a joint venture between Reliance Infrastructure and MMRDA, with the private infrastructure company holding a 74% stake and the state planning authority owning the remaining 26%.
According to the regulatory filing, the arbitral tribunal, by a unanimous 3:0 verdict, awarded Reliance Infrastructure Rs 157.64 crore towards the cost of subordinated debt, in addition to applicable interest, against the claims made by the company.
The arbitration award marks a significant outcome in the financial dispute between the two stakeholders involved in Mumbai’s first metro corridor under the public-private partnership (PPP) model. Mumbai Metro Line 1 has been operational since 2014 and serves as one of the city’s busiest rapid transit corridors, linking the eastern and western suburbs.
The award is expected to strengthen Reliance Infrastructure’s financial position by recognising its claim related to the funding provided to the metro project through subordinated debt.
The company did not disclose any additional details regarding the payment timeline or whether any further legal proceedings are expected following the tribunal’s decision.
The ruling concludes an important chapter in the dispute between Reliance Infrastructure and MMRDA concerning the financing arrangements of MMOPL, reinforcing the tribunal’s support for the company’s claims through its unanimous decision.
Source: ET Legal World
