Cash-strapped IL&FS to run Gurgaon Rapid Metro till September 17.

Rapid Metro Rail Gurgaon’s contract for running Metro services was terminated recently after a court directive. The unit of troubled IL&FS would, however, continue to operate and manage the mass rapid transit network in Gurugram after reimbursing insurance, operation and maintenance cost to the Haryana Mass Rapid Transport Corporation Ltd.
Till the next date of hearing (September 17), the company would operate and manage the Rapid Metro Rail at Gurugram on both the lines, but subject to reimbursement of the insurance and operation and maintenance cost by the petitioners of this period, Punjab & Haryana High Court said recently.
Rapid MetroRail Gurgaon Limited (RMGL) and Rapid Metro Rail Gurgaon South Limited (RMGSL) are the two SPVs running the Gurgaon Metro Rail Project since 2013 and 2017, respectively.
Due to various alleged breaches in contract by HUDA, the two SPVs served termination notices to HUDA (Haryana Urban Development Authority) on June 7, 2019, giving a 90-day notice according to the concession agreement.
BS