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Bombay HC Partly Upholds Metro-1 Arbitral Award In Favour Of MMOPL; Relief To MMRDA As Several Claims Set Aside

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Mumbai: The Bombay High Court on Tuesday partly allowed a petition filed by the Mumbai Metropolitan Region Development Authority (MMRDA) challenging an arbitral award passed in favour of Mumbai Metro One Private Limited (MMOPL) in disputes arising from execution of Mumbai’s first Metro corridor between Versova and Ghatkopar.

Justice Sandeep Marne, on Tuesday, upheld some components of the 2023 majority arbitral award while setting aside several high-value claims, substantially reducing the financial liability imposed on MMRDA.

MMOPL was incorporated by MMRDA and a consortium of Reliance Infrastructure Ltd. and Veolia Transport S.A. as the SPV (special purpose vehicle) for implementation of the Metro-1 project. In the SPV of MMOPL, Reliance Infrastructure Ltd. held 69% equity share capital, Veolia Transport S.A. held 5% equity share capital and MMRDA held 26% of the equity share capital.

The dispute arose from the Concession Agreement dated March 7, 2007, for development, construction, operation and maintenance of Metro-1 under the Build-Own-Operate-Transfer (BOOT) model. MMOPL had claimed escalation in project costs allegedly caused by delays attributable to the authority.

In August 2023, a three-member arbitral tribunal delivered a 2:1 majority award granting MMOPL claims aggregating to nearly Rs 992 crore along with interest, while rejecting MMRDA’s counterclaims. A dissenting arbitrator had rejected all claims of MMOPL.

MMRDA challenged this arbitral award before the High Court under Section 34 of the Arbitration and Conciliation Act.

On June 10 last year, while considering MMRDA’s interim application seeking a stay on the operation of the arbitral award, another High Court bench directed the Authority to deposit Rs 1,169 crore for a conditional stay on the arbitral award.

However, the Supreme Court on July 14, 2025, stayed the HC interim order, subject to MMRDA depositing 50 per cent of the awarded amount in the High Court, after which the Authority deposited nearly Rs 560 crore. The Supreme Court had clarified that its order would not preclude the High Court from finally deciding MMRDA’s challenge to the award.

After final arguments, Justice Marne, in a detailed 163-page judgment, ruled that certain portions of the award were legally sustainable while others were not.

The court observed that the “bad part of the award is not inseparably interwoven with the good part,” holding that the principle of severability could be applied since unsustainable claims were independent of valid ones.

The High Court upheld MMOPL’s entitlement to Rs 35 crore towards deductions made from Viability Gap Funding along with interest, Rs 13.16 crore towards rent paid for land at Wadala, and Rs 30.48 crore incurred due to construction of a steel bridge instead of a concrete bridge at Andheri station.

The court also sustained compensation of Rs 163.22 crore towards increase in the cost of system works.

However, claims towards additional overhead expenses of Rs 100 crore, financing and interest expenses of Rs 125 crore, and opportunity costs on loss of profit amounting to over Rs 23 crore were set aside, terming them “unsustainable”.

Since the award was partly upheld, the court declined to grant litigation costs to either side but reduced arbitration costs payable by MMRDA to MMOPL from Rs 1 crore to Rs 50 lakh.

The court further allowed intervention by National Asset Reconstruction Company Limited (NARCL), which had acquired loans advanced to MMOPL by consortium lenders after the accounts turned non-performing assets.

It directed that amounts deposited by MMRDA pursuant to earlier court orders be transferred to the project’s escrow account maintained for lenders.

At the request of MMRDA, the High Court stayed transfer of the deposited amount for eight weeks.

Business

Navi Mumbai Airport expands multimodal transport network ahead of winter flight schedule

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Ahmedabad, Oct 5: Navi Mumbai International Airport (NMIA) is strengthening its public transport and ground mobility infrastructure ahead of the Winter Schedule 2026-27, with a wider network of buses, taxis, autorickshaws, car rentals, and airport shuttles aimed at improving connectivity across Mumbai, Navi Mumbai, Pune and the wider Mumbai Metropolitan Region, it was announced on Monday.

The airport, operated by Adani Airport Holdings Limited (AAHL), is preparing for the Winter Schedule that will run from October 25, 2026, to March 27, 2027.

As part of the expansion, the Maharashtra State Road Transport Corporation (MSRTC) will launch e-Shivai electric bus services from NMIA on October 7.

The first phase of MSRTC services will connect the airport with Dadar, Borivali and Pune. Fares from NMIA have been set at Rs 450 for Pune, Rs 210 for Borivali, and Rs 170 for Dadar East. Children below 12 years and women travelling with a National Common Mobility Card will be eligible for a 50 per cent fare concession.

The Dadar-NMIA service will operate through Sion and Atal Setu, while the Borivali-NMIA route will connect CSMIA Terminal 1, Bandra, and Atal Setu. The Pune route will have two daily services, with one operating in the morning and another in the afternoon. MSRTC also plans to introduce services connecting NMIA with Thane and Nashik by mid-November.

Private bus operator Chalo Bus is already providing 21 daily services connecting NMIA with Marol in Andheri East, Bandra, Dadar, and the World Trade Centre in Colaba. The operator is also adding capacity during peak periods to cater to passenger and airport employee movement.

Within Navi Mumbai, Navi Mumbai Municipal Transport (NMMT) is operating seven dedicated airport routes, A1 to A7, linking Terminal 1 with Kharkopar, Targhar, Belapur, Nerul, Panvel, Khandeshwar and the Airport Project Office. Services between Belapur and Nerul are available every 15-20 minutes during peak hours, while further connectivity to Vashi and Panvel is planned.

The airport is also expanding taxi and last-mile connectivity. Uber Go and Uber Premier will provide app-based cab services, while Uber Auto will cater to passengers seeking on-demand autorickshaw services for shorter journeys. Prepaid taxi and autorickshaw facilities, along with car rental services, are also being introduced at the airport.

Bharat Taxi is scheduled to begin operations at NMIA from October 10 with a dedicated fleet of up to 40 vehicles, adding another option for passengers travelling to and from the airport.

A complimentary inter-airport shuttle service is also being introduced between NMIA and Chhatrapati Shivaji Maharaj International Airport (CSMIA). Operated by Cityflo, Aarya and Chalo, the shuttle will run every hour and provide passengers with a direct transfer option between Mumbai’s two airports.

Overall ground transport capacity at NMIA is being scaled up to 4,594 vehicles and services, including 3,787 app-based taxis, 184 car rentals, 171 autorickshaws and 547 buses. The airport is also deploying mobility signage, improved wayfinding systems and on-ground passenger assistance, with designated areas for buses, shuttles, arrivals, departures and private vehicles.

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Maharashtra

Man arrested in Mumbai for defrauding senior citizens and others using fake APK files.

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In a case involving the defrauding of a 72-year-old senior citizen in Mumbai on August 13, an unidentified caller—posing as Dinesh Kumar, a Senior Manager at Bank of India—gained the victim’s trust by promising to facilitate the issuance of a Senior Citizen Card. The caller sent an APK file named “Senior Citizen Card http://Verification.apk” to the complainant’s WhatsApp and coerced them into entering personal and bank debit card details, resulting in the misappropriation of ₹5,62,000. Initially, the Byculla Police Station registered a case (No. 497/26) under Sections 318(4) and 319(2) of the BNS and Sections 66(C) and (D) of the Information Technology Act, 2000. While the Property Cell of the Mumbai Crime Branch was conducting a parallel investigation, senior officials ordered the transfer of the case to the Crime Branch; it was subsequently re-registered as Case No. 927/2026 for further investigation.

A thorough technical analysis of the aforementioned APK file was conducted, leading to the identification and arrest of the accused—a 36-year-old male software developer and resident of Madhya Pradesh—who was responsible for developing the fraudulent APK file. During a raid on the accused’s office in Madhya Pradesh, authorities recovered a pen drive, a CPU, three hard disks, a Wi-Fi router, and three mobile phones. Preliminary technical analysis revealed that the accused was utilizing servers from various service provider companies. Investigation confirmed that the accused had created and sold a total of 2,805 malicious APK files to other cybercriminal gangs. These files were used to defraud 9,673 people across India. Complaints regarding these incidents have been registered on the cyber helpline number 1930—specifically 1,074 nationwide, 143 in Maharashtra, and 36 in Mumbai—revealing a total fraud amount of ₹15.75 crore. Cases have been cracked involving 88 incidents across India, 8 in Maharashtra, and 5 in Mumbai.

This successful operation was executed by a team comprising Police Commissioner Devin, Joint Police Commissioner Anil Kumbhare, Additional Commissioner Krishna Kant Upadhyay, DCP (Crime) Raj Tilak Roshan, and the Crime Branch. DCP Raj Tilak Roshan stated that this action was taken in response to fraud targeting the elderly under the guise of issuing senior citizen cards; the police also regularly conduct awareness campaigns among the elderly regarding this issue.

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Maharashtra

MPSC paper leak row: Maha CM seeks Guv’s nod for judicial probe

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Mumbai, Oct 5: Responding to escalating protests by competitive examination aspirants, Maharashtra Chief Minister Devendra Fadnavis on Monday formally recommended that Governor Jishnu Dev Varma constitute a high-level inquiry panel to initiate proceedings against current and former members and chairpersons of the Maharashtra Public Service Commission (MPSC) under Article 317 of the Constitution.

The Chief Minister proposed that a committee headed by a retired High Court judge investigate the allegations and submit a comprehensive report within three months to determine subsequent action.

CM Fadnavis highlighted that removing MPSC officials, who hold constitutional posts, requires a strict procedure.

Under Article 317, removal can only take place following a formal inquiry and subsequent action involving the President of India and the Supreme Court.

Following assurances given during discussions between the Chief Minister and a delegation of student representatives, MPSC Secretary Mahendra Harpalkar has been officially relieved of his duties.

Agitation intensified across Pune after a paper leak was confirmed in the Drug Inspector examination conducted by the MPSC for the Food and Drug Administration (FDA).

Investigations revealed that three candidates had directly benefited from the leak. All three candidates and several alleged accomplices have since been arrested.

Aspirants led by MLA Rohit Pawar have been protesting at multiple locations in Pune, demanding the immediate resignation of MPSC Chairman Vivek Bhimanwar, who assumed office in early 2026.

The demonstrations also reflect ongoing student concerns regarding the examination pattern, particularly the issue of multiple-choice questions versus descriptive formats, as well as broader questions of administrative accountability.

Students have been demanding the resignation of the MPSC chairperson, with opposition parties extending full support to the protest movement.

The movement now appears to have achieved a breakthrough with Chief Minister Devendra Fadnavis’ formal recommendation to Governor Jishnu Dev Varma.

Meanwhile, amid the ongoing controversies surrounding MPSC examinations, Shiv Sena MLA Sanjay Gaikwad publicly criticised his own government on Sunday.

Making serious allegations against the MPSC Board, he demanded that the board itself be dissolved.

He also said that he would hand over his evidence and a formal letter directly to the Chief Minister.

The state government’s latest measures aim to restore candidates’ trust by establishing a time-bound, independent judicial inquiry into the commission’s administrative functioning.

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