SC notice to R-Infra on GVK-L&T consortiums application

Written by Indu Bhan | Indu Bhan | New Delhi | Updated: May 22 2012, 07:44am hrs
A consortium of GVK and Larsen and Toubro (L&T) has moved the Supreme Court after it lost the 200-MW Mapang Bogudiyar hydel power project in Uttarakhand to Anil Ambani-led Reliance Group company Reliance Infrastructure (R-Infra).

A bench headed by Justice TS Thakur sought reply from R-Infra, the state government, state utility Uttaranchal Jal Vidyut Nigam (UJVNL) and others on the consortiums plea challenging the Uttarakhand High Courts order that cancelled its two hydropower project contracts and awarded one of them to R-Infra.

It asked the parties to maintain status quo in regard to projects at Mapang Bogudiyar and Bogudiyar Sirkari Bhyol... until further orders.

The high court in its April 27 judgment ordered award of Mapang Bogudiyar project to Reliance provided the company agreed to match GVKs upfront payment bid of R6.05 crore per MW. Reliance had earlier quoted second highest bid of R5.30 crore per MW for the project.

The high court, while directing the state government to hand over the project to Reliance, said awarding of the 200-MW Mapang Bogudiyar and 170-MW Bogudiyar Sirkari Bhyol projects in favour of GVK-L&T was utterly mala fide. However, it directed the state to decide the fate of the 170 MW Bogudiyar Sirkari Bhyol project, for which the L&T-GVK consortium was the sole financial bidder.

The consortium in its appeal before the apex court stated that Reliance had moved the high court after a lapse of more than four years which had been attributed to its (R-Infra) lack of knowledge till the media reported the award of contract to it.

This explanation is ex-facie ridiculous as the representatives of R-Infra has participated in each and every stage of the tendering process, GVK-led consortium said, adding that the high court had also ignored the state governments decision taken in larger public interest.