Updated: September 10, 2019 8:41:18 am
The Punjab and Haryana High Court Monday ordered the Rapid MetroRail Gurgaon Limited and Rapid MetroRail Gurgaon South Limited to continue operating the Rapid Metro till September 17. It also asked the Haryana Mass Rapid Transport Corporation Limited and Haryana Shehri Vikas Pradhikaran (HSVP) to reimburse the insurance and operation and maintenance cost of this period to the companies.
The contract between Rapid MetroRail Gurgaon and HSVP for operating the line, running from Delhi Metro’s Sikanderpur station on MG Road to Sector 56 and NH-8 in Gurgaon, has already come to an end. But services have continued since September 6 due to the HC’s intervention on a plea filed by the Corporation and HSVP.
The division bench of Justice Rakesh Kumar Jain and Justice Arun Kumar Tyagi Monday said the dispute between the parties may be resolved by negotiation. The parties have been alleging violation of agreements, leading to invoking the termination clause that came into effect last week.
“You are an Indian company. You have to help,” observed the bench while addressing the counsel representing Rapid MetroRail, after it was argued that a termination notice was given to authorities in advance but they continued to remain in slumber till the last day.
The court also made it clear that it was intervening in public interest.
Rapid MetroRail Gurgaon — a consortium comprising IL&FS Transportation & Network Limited, ENSO Rail Systems Limited and DLF Metro Limited — is facing proceedings before the National Company Law Appellate Tribunal.
Justice D K Jain, appointed to supervise the operation of the debt resolution process, last week approved the transfer of the Rapid Metro to Haryana authorities.
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