Cancellation of Vande Bharat contract: Raj HC vacates stay

Jodhpur: Rajasthan High Court on Friday vacated an interim stay on the cancellation of contract pertaining to Vande Bharat train project from Jodhpur to Delhi.
The interim stay had been granted by the high court on this cancellation of the contract by the railways on the plea of the working agency after it failed to complete the work in time despite several extensions.
Single bench of Justice PS Bhati passed this order following an argument by the Additional Solicitor General Raj Deepak Rastogi that the working agency had been given adequate additional extensions to complete the assigned project. “But in spite of that the work of this important project of the government of India to run Vande Bharat train between Jodhpur and Delhi remained incomplete and thus got delayed unnecessarily," argued Rastogi. It is mentionable that Nelakuduru Infra, Bengaluru had been sanctioned the work of constructing 18 major and minor bridges between Degana and Phulera, a stretch of 109 kms for doubling of tracks for the ambitious Vande Bharat train from Jodhpur to Delhi by the Indian Railway in February 2019.
The deadline to complete the work was 18 months ending in August 2020, but despite the lapse of the deadline, the work still remained incomplete despite railways having issued 5 notices and 7 extensions.
Rastogi said that finally the railways cancelled the contract on February 24, 2023, which was challenged by the agency in the high court and obtained an ex-parte interim stay on this cancellation of contract.
During the hearing of the case, the petitioner working agency argued in the court that the cancellation of the contract was not sustainable in the eyes of the law. Petitioner’s counsel also submitted that they are still ready and willing to complete the work and also that there was an alternative remedy of arbitration available, which was turned down by the respondents.
After hearing both the sides, the court vacated the stay and dismissed the stay petition observing the project to be of public importance and the delay in completion of the same would cause an irreparable loss to the nation as well as affect the public at large.
This vacation of stay on the cancellation of the contract, will now enable the railways to give a fresh approach to ensure completion of the project, already delayed by 2 years and a half.