NAGPUR: The arbitration procedure between the Nagpur Municipal Corporation (NMC) and Starbus operator Vansh Nimay Infraprojects Limited (VNIL) commenced on Saturday with arbitrator SR Dongaonkar, a retired High Court judge, keeping a listening to in the case.
The VNIL had demanded arbitration with the NMC due to dispute over various issues. Stating that the NMC did not gave any sure response against demand of arbitration, the VNIL had filed a petition in the HC on January 17.
The NMC discontinued services of VNIL on February 28 declaring that the operator had finished 10 years. On April 12, judge Prasanna Varale appointed Dongaonkar as arbitrator following consent from VNIL and in addition NMC.
The NMC is prone to publish reply earlier than arbitrator on or earlier than October 30. Dongaonkar is prone to start a chain of hearings after submission of NMC's reply.
The VNIL had charged the NMC of inflicting loss of Rs541 crore. In its arbitration understand served to the NMC, the VNIL alleged the civic frame did not give students' concessions of Rs94 crore. The VNIL added that loss of Rs244 crore was once incurred due to loss of infrastructure, Rs88 crore due to NMC's failure to act against illegal passenger cars and Rs15.50 crore due to loss of revision in fares despite hike in fuel prices.
In January, the NMC had claimed the VNIL defaulted on payment of round Rs165 crore, including royalty of Rs120 crore. Also, VNIL had miserably didn't run total fleet of buses and given number of routes, the civic frame had mentioned.
Currently, the NMC is working and keeping up city bus provider — Aapli Bus — by means of roping in 4 bus operators and one Integrated Bus Transport Management (IBTM) operator.
The VNIL had demanded arbitration with the NMC due to dispute over various issues. Stating that the NMC did not gave any sure response against demand of arbitration, the VNIL had filed a petition in the HC on January 17.
The NMC discontinued services of VNIL on February 28 declaring that the operator had finished 10 years. On April 12, judge Prasanna Varale appointed Dongaonkar as arbitrator following consent from VNIL and in addition NMC.
The NMC is prone to publish reply earlier than arbitrator on or earlier than October 30. Dongaonkar is prone to start a chain of hearings after submission of NMC's reply.
The VNIL had charged the NMC of inflicting loss of Rs541 crore. In its arbitration understand served to the NMC, the VNIL alleged the civic frame did not give students' concessions of Rs94 crore. The VNIL added that loss of Rs244 crore was once incurred due to loss of infrastructure, Rs88 crore due to NMC's failure to act against illegal passenger cars and Rs15.50 crore due to loss of revision in fares despite hike in fuel prices.
In January, the NMC had claimed the VNIL defaulted on payment of round Rs165 crore, including royalty of Rs120 crore. Also, VNIL had miserably didn't run total fleet of buses and given number of routes, the civic frame had mentioned.
Currently, the NMC is working and keeping up city bus provider — Aapli Bus — by means of roping in 4 bus operators and one Integrated Bus Transport Management (IBTM) operator.
Arbitration process between NMC, VNIL begins
![Arbitration process between NMC, VNIL begins]()
Reviewed by Kailash
on
October 22, 2017
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