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Supreme Court Rules DND Flyway to Remain Toll-Free, Upholds 2016 Allahabad HC Verdict
Team Finance Saathi
20/Dec/2024
What's covered under the Article:
- Supreme Court's ruling: DND flyway remains toll-free.
- Allahabad High Court’s 2016 ruling upheld.
- Noida Toll Bridge Company Limited (NTBCL) to stop toll collection.
- Court's reprimand: NTBCL's contract and delegation of toll collection to a private firm.
New Delhi, India – On Friday, the Supreme Court of India ruled that the DND (Delhi-Noida-Direct) flyway will remain toll-free, upholding a 2016 decision by the Allahabad High Court. The Noida Toll Bridge Company Limited (NTBCL) had appealed the earlier verdict, but the Apex Court dismissed the appeal, stating that the company had already recovered the costs and returns from the flyway's construction.
Background of the Case
The DND flyway, a key 9.2 km road connecting Noida to South Delhi, was opened in 2001 and has been managed by NTBCL, a private company. The flyway sees over 100,000 vehicles daily, and for years, toll charges were collected from commuters. However, in October 2016, the Allahabad High Court ruled that the company had collected sufficient toll revenue over the course of 10 years to cover its construction costs. The High Court concluded that no further tolls should be collected, as the company had already made a substantial return on its investment.
Supreme Court's Ruling
The Supreme Court supported the Allahabad High Court’s ruling, affirming that the NTBCL had recovered its investment and was not entitled to collect additional tolls. The court further criticized the Noida Authority for outsourcing toll collection to NTBCL, stating that the arrangement led to unjust enrichment. The bench, consisting of Justices Surya Kant and Ujjal Bhuyan, remarked that the company's appeal had no merit.
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