New Delhi, Oct 28 (IANS) The DND Flyway will remain toll free, for now, as the Supreme Court on Friday reserved order on the Noida Toll Bridge Company Ltd.'s plea against the Allahabad High Court order that prohibited it from collecting any more toll.
A bench of Chief Justice T.S. Thakur, Justice D.Y. Chandrachud and Justice L. Nageswara Rao indicated the court may appoint an independent auditor or ask the Comptroller and Auditor General to ascertain whether the company had recovered its project costs plus 20 per cent returns.
As senior counsel Abhishek Manu Singhvi representing the concessinaire addressed the court on the agreement to build and operate the Delhi-Noida Direct toll plaza, the bench asked: "How much are you entitled under the agreement? What is the permissible collection under the agreement? What is the figure you are entitled to?
The bench pointed out that the Allahabad High Court said the company's recovery was twice the amount it spent on the project and "that is enough, now go home".
"The High Court says you have spent Rs 400 crore, and recovered Rs 1,100 crore," the bench observed.
The bench indicated that it may ask the CAG to look into the matter, as Singhvi urged the court to appoint an independent auditor to examine their records.
Seeking the lifting of the prohibition on toll collection, Singhvi said the company will keep the money in an escrow account and the court-appointed auditor give a report in two months.
Singhvi told the court that the DND bridge was commissioned on February 7, 2001, and traffic on it was lower till 2007-08 than estimated, which resulted in a shortfall in cost recovery and returns thereon.
He told the court that it was only after 2008 that the NTBCL earnings from the DND were positive. He said it was the first project entirely executed by the concessionaire when nobody was coming forward to do it.
Faulting the High Court order, Singhvi said it stopped toll collection but the concessionaire will still be responsible for accidents, security, safety and maintenance at the DND.
