Adani’s ₹5,069 Crore Project Under Legal Scrutiny
The Supreme Court of India has issued a notice to the Maharashtra government over its decision to award the Dharavi Redevelopment Project to Adani Group. The move comes after a UAE-based firm challenged the bidding process, claiming that its higher financial offer was ignored. The legal challenge raises fresh concerns about the transparency of the massive ₹5,069 crore project, which aims to transform Dharavi, one of Asia’s largest slums, into a modern urban hub.
The Disputed Bidding Process
The Maharashtra government awarded the Dharavi Redevelopment Project to Adani Realty in 2022. The project, one of the most ambitious urban renewal initiatives in India, involves the rehabilitation of over one million residents and aims to create a new commercial and residential district in the heart of Mumbai.
However, the UAE-based firm, which was also a participant in the tender process, has alleged unfair treatment. It claims that its financial bid was ₹400 crore higher than Adani’s, yet it was disregarded without proper explanation. The company has taken the matter to the Supreme Court, demanding a review of the process that led to Adani’s selection.
Supreme Court’s Notice and Legal Developments
In response to the petition, the Supreme Court has asked the Maharashtra government and Adani Group to file their replies. The court’s notice signals that it is taking the allegations seriously and is willing to scrutinise the tender process. The hearing is expected to focus on whether the government’s selection was fair and in compliance with bidding regulations.
Legal experts suggest that if the court finds irregularities in the bidding process, it could lead to a reassessment of the project award or even a rebidding process. However, such a move could significantly delay the redevelopment timeline, affecting thousands of families waiting for rehabilitation.
Impact on Dharavi’s Future
The Dharavi Redevelopment Project is seen as a crucial step in Mumbai’s urban planning efforts. For decades, Dharavi has been a hub of small-scale industries, housing an estimated 700,000 to 1 million people in dense, informal settlements. The government has positioned the project as a solution to improve living conditions, infrastructure, and economic opportunities.
However, controversies surrounding the project have persisted. Critics argue that large-scale redevelopment often prioritises corporate interests over the rights of existing residents. With the legal challenge now reaching the Supreme Court, the project’s future hangs in balance, and stakeholders—including Dharavi’s residents—await the court’s decision.
What’s Next?
The Supreme Court’s intervention puts additional pressure on the Maharashtra government to justify its selection of Adani Group for the project. If the court finds merit in the UAE firm’s arguments, the state may have to re-evaluate its decision. Meanwhile, Adani Realty, which has already started preparatory work, will have to defend its position in court.
The next hearing in the case is expected soon, and its outcome could set a precedent for future large-scale redevelopment projects in India.
