Delhi HC Permit Time to DMRC to Pay Remaining Arbitral Amount to DAMEPL

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Debangana Ray

Published on June 22, 2022 at 15:58 IST

The Delhi High Court granted time to Delhi Metro rail corporation till August after the latter proposed from banks for the loan so that it can pay the remaining arbitral amount to Delhi Airport Metro Express Private Limited (DAMEPL).

The bench comprising of Justice V Kameswar Rao granted time to DMRC after the submission of the application by DAMEPL seeking enforcement of the arbitration award dated May 11, 2017. The matter has been listed for further hearing on August 16.

DMRC’s counsel told the bench that it expects to process the bids of the banks by July 10 and sign the documents by August 15. the bench, however, after recognizing the submission granted time till August 5.

The bench also called for an affidavit listing the breakup of payments to DAMEPL within one week of complying with the direction.

On March 10, the DMRC was directed by the HC to pay the entire arbitration amount of 4600 Crore which was also upheld by the Supreme court on May 5.

In the present petition, DAMEPL stated that even after the orders of the court, only 166.44 crore has been paid of the total amount by DMRC. It claimed that 4427.21 Crores were pending.

The arbitration award was based on an agreement between DMRC and DAMEPL in 2008 for developing and operating the orange line of the Delhi Metro connecting the International Airport’s Terminal-3 to Sector 21 Dwarka.

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