Commercial vehicle maker Ashok Leyland has won a major arbitration case against Delhi Transport Corporation (DTC). The company will get Rs 222.65 crore, interest and legal costs. This dispute was related to the supply of buses in 2009-11.
New Delhi [भारत]July 13 (ANI): Ashok Leyland has won an arbitration award of Rs 222.65 crore in its long-running dispute with Delhi Transport Corporation (DTC). Along with this, the company will also get interest and legal costs. According to a stock exchange filing, the arbitration tribunal has rejected DTC’s entire counter-claim against the commercial vehicle maker.
The company informed the exchanges that the dispute arose when it supplied buses to DTC between 2009 and 2011 under a contract awarded through a tender process. “Ashok Leyland Limited (“AL”) had supplied buses to Delhi Transport Corporation (DTC) between 2009-2011 against a tender invited by DTC. As per the contract with DTC, AL had made certain claims for which AL had initiated arbitration against DTC in 2013,” the company said.
Important decision of tribunal
Ashok Leyland said its original claim in the arbitration was for Rs 445 crore, while DTC had filed a counter-claim of Rs 136 crore. According to the filing, “The arbitral tribunal, vide its majority award dated July 6, 2026, allowed a portion of AL’s claims amounting to Rs 222.65 crore. Additionally, legal costs of Rs 2.96 crore will also be awarded along with interest at the rate of 10% per annum during the pre-arbitration period, litigation and from the date of award till payment.” DTC’s entire counter-claim is rejected.”
Company reviewing the award
The company said it is reviewing the award and estimating the final amount to be awarded including interest. “The company is in the process of reviewing the contents of the award, determining the final award amount including interest, and considering available options for any claimed balance that has not been awarded,” the company said.
Ashok Leyland said the expected financial impact of the award “is being explored.” (ANI)
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