Reliance Infrastructure moves Delhi High Court to get Rs 5,200 crore from DMRC

Reliance Infrastructure’s (RInfra) subsidiary Delhi Airport Metro Express Private Limited (DAMEPL) has moved the Delhi High Court seeking execution of the arbitration award it had won against Delhi Metro Rail Corporation (DMRC) of around Rs 5,200 crore. 

“The arbitral award was recently upheld by a single judge bench of the Delhi High Court. In its petition filed under section 36 of the Arbitration and Conciliation Act in the division bench headed by Chief Justice of Delhi HC, DAMEPL has sought an order for the execution of the award dated May 11, 2017 passed by the Arbitral Tribunal and direct DMRC to pay a Rs 5,200 crore. This includes principal amount of Rs 2,945.54 crore along with interest as on date,” read RInfra’s statement.

Anil Ambani-led company plans to utilise the proceeds from the arbitration award to retire outstanding debt of RInfra as well as of DAMEPL.

In May 2017, the three-member Arbitration Tribunal, formed out of the DMRC-nominated panel as per the Concession Agreement of September 2013, gave its award after hearing the case for almost four years. 

During these four years there were 68 hearings and the final order issued stated to award the compensation to DAMEPL. Later, DMRC had moved Delhi High Court against tribunal’s order, but the order was upheld to make payment of principal amount of Rs 2,945 crore along with interest. As on March, the amount with interest is around Rs 5,200 crore.