Dilip Buildcon Wins Rs 460M Arbitration
ECONOMY & POLICY

Dilip Buildcon Wins Rs 460M Arbitration

Infrastructure major Dilip Buildcon has secured an arbitration award of Rs 460 million against the National Highways Authority of India (NHAI) over delays and breaches during the execution of a highway project in Karnataka.

The dispute pertains to the Rehabilitation and Upgradation of the Kerala Border to Kollegala Section of NH 212, awarded to Dilip Buildcon under an Engineering, Procurement, and Construction (EPC) agreement dated June 6, 2014. The project involved two-lane expansion with paved shoulders and four-lane development under the National Highways Development Project (NHDP) Phase IV-A.

Arbitration Ruling The tribunal ruled in favor of Dilip Buildcon, holding NHAI responsible for various delays and breaches that impacted the project's execution. The awarded amount, inclusive of interest up to the date of the ruling, stands at Rs 460 million.

As per the order, NHAI must pay the amount immediately. Failure to comply will attract an interest rate of 2% above the SBI base rate, compounded quarterly, until full payment is made.

Possible Legal Challenge Under the Arbitration and Conciliation Act, 1996, NHAI may challenge the award, in which case Dilip Buildcon has stated it will defend its position appropriately.

The ruling marks a significant financial development in India's highway infrastructure sector, highlighting the challenges faced by contractors due to project delays and contractual disputes.

Infrastructure major Dilip Buildcon has secured an arbitration award of Rs 460 million against the National Highways Authority of India (NHAI) over delays and breaches during the execution of a highway project in Karnataka. The dispute pertains to the Rehabilitation and Upgradation of the Kerala Border to Kollegala Section of NH 212, awarded to Dilip Buildcon under an Engineering, Procurement, and Construction (EPC) agreement dated June 6, 2014. The project involved two-lane expansion with paved shoulders and four-lane development under the National Highways Development Project (NHDP) Phase IV-A. Arbitration Ruling The tribunal ruled in favor of Dilip Buildcon, holding NHAI responsible for various delays and breaches that impacted the project's execution. The awarded amount, inclusive of interest up to the date of the ruling, stands at Rs 460 million. As per the order, NHAI must pay the amount immediately. Failure to comply will attract an interest rate of 2% above the SBI base rate, compounded quarterly, until full payment is made. Possible Legal Challenge Under the Arbitration and Conciliation Act, 1996, NHAI may challenge the award, in which case Dilip Buildcon has stated it will defend its position appropriately. The ruling marks a significant financial development in India's highway infrastructure sector, highlighting the challenges faced by contractors due to project delays and contractual disputes.

Related Stories

Gold Stories

Next Story
Products

Koemmerling opens Navi Mumbai experience centre

Koemmerling, a brand of the profine Group, has expanded its presence in the Mumbai metropolitan region with the opening of a new experience centre in Navi Mumbai and launched its Allure S46 minimal sliding door system for the Indian market.Located in CBD Belapur, the facility was inaugurated by Peter Mrosik, Owner and CEO, profine Group, along with Farid Khan, Chairman and Managing Director, profine India, and Kamal Bajaj, CEO, profine India.The company said the new centre will showcase its portfolio of uPVC and aluminium window and door systems to architects, developers and homeowners.The ina..

Next Story
Products

India's waterproofing market nears Rs 150 bn milestone

India's waterproofing industry is approaching a market size of Rs 150 billion and is expected to surpass the $2 billion milestone, according to speakers at the 2nd India International Waterproofers Conference & Expo 2026 organised by the Waterproofers Association of India (WAI) in New Delhi.The two-day event brought together more than 20 speakers, 55 international delegates and 53 exhibition booths, with discussions focusing on climate-resilient construction, advanced waterproofing technologies and international collaboration.Inaugurating the event, Durga Shanker Mishra, former Secretary, ..

Next Story
Real Estate

Dilip Buildcon Q1 FY27 Revenue at Rs 23.78 billion

Dilip Buildcon Limited reported consolidated revenue from operations of Rs 2,378 crore in Q1 FY27, along with EBITDA of Rs 429 crore and profit after tax of Rs 128 crore.Consolidated EBITDA margin stood at 18.1%, improving from 17.1% in Q4 FY26. On a standalone basis, revenue from operations was Rs 1,930 crore, EBITDA stood at Rs 199 crore and PAT was Rs 39 crore, with an EBITDA margin of 10.3%.The company’s order book stood at Rs 27,691 crore as of 30 June 2026, compared with Rs 28,830 crore as of 31 March 2026. Roads and highways accounted for 17.1% of the order book, irrigation and water ..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement