Bombay HC quashes notice of contract termination to French firm by MMRDA; govt. orders probe
The Hindu
Bombay High Court quashes MMRDA contract termination, orders inquiry into corruption allegations, sparking demands for judicial investigation.
The Bombay High Court on Tuesday quashed a contract termination notice issued by the Mumbai Metropolitan Region Development Authority (MMRDA) on January 3 this year to French consultancy firm Systra MVA Consulting (India) Pvt. Ltd. The firm, awarded the contract to provide design consultancy services for three metro lines in Mumbai, had accused several officials of the MMRDA of corruption in connection with metro projects.
Following the hearing, Maharashtra Deputy Chief Minister Eknath Shinde ordered an inquiry into the matter. Sources told The Hindu that Principal Secretary, Urban Development, Aseem Gupta has been tasked with conducting a thorough probe. “He has been asked to give a report in a fortnight,” a source in the Deputy Chief Minister’s office said.
A Division Bench of Chief Justice Alok Aradhe and Justice Arif S. Doctor observed that the MMRDA’s decision of termination was “arbitrary” and “unfair” and directed the authority to consider the issue afresh after hearing the company.
The contract pertained to Mumbai metro lines 5 (Thane-Bhiwandi-Kalyan), 7A (Andheri (East)-CSIA) and 9 (Mira Bhayander).
“The MMRDA is directed to take a fresh decision with regard to either discontinuation or otherwise of the contract awarded to the petitioner afresh after hearing it, by way of a speaking order. The writ petition is disposed of accordingly,” the Bench observed.
Opposition leaders in Maharashtra, meanwhile, demanded a probe into the matter. Shiv Sena (UBT) leader and former Minister Aaditya Thackeray targeted Mr. Shinde, under whose Urban Development Department the MMRDA falls, and urged the Chief Minister to initiate an inquiry.
The Maharashtra Congress demanded a judicial investigation into the issue.
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