The Calcutta High Court has upheld a ₹780-crore arbitration award in favour of Reliance Infrastructure Ltd (RelInfra) in a dispute with Bengal-based Damodar Valley Corporation, the Anil Ambani group firm said in a stock exchange filing.
More than a decade back, Reliance Infrastructure had won a contract to set up a 1,200 MW thermal power plant in Purulia in West Bengal for ₹3,750 crore.
The project was delayed due to disputes and other reasons, leading to DVC seeking damages from Reliance Infrastructure. Reliance Infrastructure, however, challenged this, and an arbitration tribunal in 2019 ruled in favour of the company and directed DVC to pay ₹896 crore to the company.
DVC challenged the order of the arbitral tribunal in the Calcutta High Court, which was dismissed by the court.
“This is to inform that on September 27, 2024, the Division Bench of Hon’ble High Court of Calcutta delivered its judgment in a petition filed by Damodar Valley Corporation (DVC) challenging the arbitration award under Section 34, dated September 29, 2023, amounting to approximately ₹780 crore, including accrued interest in favour of the company concerning the Raghunathpur Thermal Power Project,” the firm said in the filing.
PTI
