The Mumbai Metropolitan Region Development Authority (MMRDA) has scrapped the Rs 14,000 crore Thane-Ghodbunder tunnel project bid offered after remarks from the Supreme Court over the disqualification of construction giant Larsen & Toubro (L&T). This move comes after L&T's plea challenging the Bombay High Court’s refusal to stay the financial bid opening for the mega infrastructure project.
The project included a 5 km twin underground road tunnel between Gaimukh and Fountain Hotel Junction, part of a larger 15 km coastal road expansion valued at Rs 14,000 crore. L&T alleged it was unfairly left uninformed about the rejection of its technical bid and excluded from the financial bid process, unlike other bidders. The company termed this conduct discriminatory and a breach of transparency.
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During the recent hearing, Chief Justice BR Gavai underscored the magnitude of public funds involved and warned that the court would stay proceedings if clarity wasn’t provided. The Maharashtra government’s decision to cancel the tender ahead of the apex court's next scheduled hearing suggests a reassessment of the bidding process in light of these concerns.
After this, L&T's shares were trading at Rs 3,676.80 a piece on the BSE on Friday, up 0.59 per cent, as of 12.25 PM.