DMRC seeks Rs 3,500 cr from GoI in DAMEPL case

New Delhi: The Delhi Metro Rail Corporation (DMRC) has sought a sum of Rs3,500 crore from the Government of India in the form of grant/equity interest free subordinate debt to comply with High Court directions in the case of Delhi Airport Metro Express Pvt. Ltd (DAMEPL).

In a letter dated September 6, 2022, Vikas Kumar, Managing Director, DMRC wrote to the Secretary, Ministry of Housing and Urban Affairs stating that the total amount due under the Award was Rs7,010 crore and that GoI should grant Rs3,500 crore to DMRC to satisfy the Award and that DMRC would ask for an identical amount from the GoNCTD.

After DMRC's Special Leave Petition against the Delhi High Court order dated March 10, 2022 was dismissed on September 5, 2022, DMRC changed track and now suggested that it cannot sustain a debt of Rs4,500 crore to satisfy the Award and hence needed to receive funds from its shareholders namely GoI and GoNCTD in equal proportion to satisfy the Award. DMRC's Board Meeting held on September 21, 2022 discussed the issue and came to a view that DMRC would ask for funds from both shareholders.

DMRC has tried to drag on the execution proceedings indefinitely by trying to suggest different methods to comply with the Award. Initially, in December 2021, DMRC tried to suggest that it was willing to take over the debt of DAMEPL as well as its promoter company (R-Infra) for an amount equivalent to that payable under the Award. When DAMEPL agreed, DMRC backed out saying that it cannot take over the debt of R-Infra.