Bombay High Court Refuses Relief to L&T in Thane Tunnel-Elevated Road Tender Dispute, Allows Opening of Bids

The Bombay High Court on Tuesday declined to grant any relief to Larsen & Toubro (L&T) in its legal challenge against the Mumbai Metropolitan Region Development Authority (MMRDA) over the tendering process for the ambitious Thane-Ghodbunder to Bhayandar tunnel and elevated road project. The court cleared the way for opening of the final financial bids.

A vacation bench of Justices Kamal Khata and Arif Doctor refused to continue the interim stay passed last week that had restrained the MMRDA from opening the financial bids — the final stage in the Rs 6,000-crore tender process. The financial bids were originally scheduled for opening on May 13.

While dismissing L&T’s petitions, the court directed the MMRDA to retain the company’s financial bid in a sealed cover for one week after the bids are opened, ensuring temporary preservation of L&T’s financial offer.

Dispute Over Bid Status

L&T had approached the High Court earlier this month with two petitions, alleging that the MMRDA failed to inform the company about the status of its bid after technical bids were opened on January 1, 2025. The infrastructure major had submitted its technical and financial bids on December 30, 2024.

L&T claimed it was never informed whether its bid had qualified for the final stage, asserting that this lack of communication violated the principles of fairness and transparency in public procurement.

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MMRDA’s Stand

Represented by Solicitor General Tushar Mehta and senior advocate Mukul Rohatgi, the MMRDA defended its decision, stating that under the tender terms, only “responsive” bidders were to be intimated about the results of the technical evaluation. L&T’s bid, the agency said, was found to be non-responsive, and hence no intimation was necessary.

The MMRDA further argued that unsuccessful bidders would still have an opportunity to challenge the outcome once the lowest bidder is identified, ensuring that no party would be left without remedy.

Public Interest Cited

Highlighting the importance of the project, which includes a 9.8-km elevated corridor over the Vasai Creek — set to be the second-longest in the country after the Atal Setu — the MMRDA counsel emphasized that further delay would hinder a crucial public infrastructure project.

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“The project is large and in the public interest and can brook no further delay,” the counsel submitted.

With the High Court’s go-ahead, the MMRDA is now expected to proceed with the opening of the financial bids, marking a critical step forward in one of the region’s largest infrastructure projects.

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