Madras HC allows Chennai Metro Rail to go ahead with retender process
Chennai: The Madras High Court today allowed Chennai Metro Rail Ltd to go ahead with the retender process for the underground tunnel work between Saidapet and Government Estate.
This 1,947-crore project was originally awarded to Gammon. However, CMRL had terminated Gammon in June due to delay in project completion.
Gammon’s Russian partner Mosmetrotroy, which was entrusted with the underground work, abandoned the project abruptly.
Justice K Ravichandrabaabu in his order refused to stay Gammon’s petition to stop the retender process.
He asked both parties to go for arbitration proceedings in four weeks. Gammon has already invoked the arbitration, said its counsel.
The judge told CMRL to keep alive the bank guarantee till the arbitration is over.