Vishnu Prakash Punglia Faces Setback as Railway Project Cancelled

In a significant development, North Western Railway has terminated the contract awarded to Vishnu Prakash R Punglia Ltd for the Jaipur Sawai Madhopur doubling project. The project involved critical railway infrastructure works, including earthwork, station buildings, platforms, bridges, signaling, and telecommunication structures.

The termination notice, issued on January 14, 2026, has raised concerns about project delays and financial losses. The company has confirmed that it will pursue legal remedies by approaching the Rajasthan High Court.

Key Highlights:

Scope of Work:

• Earthwork, blanketing, construction of station buildings.
• Passenger and goods platforms, shelters, footbridges, staff quarters.
• Road under bridges (RUBs), limited height subways (LHS), minor bridges, retaining walls.

Financial Impact:

• Estimated ₹88.69 million loss due to forfeiture of performance guarantee and security deposit.

Legal Action:

• Vishnu Prakash Punglia Ltd has filed a petition in the Rajasthan High Court seeking relief against the termination.

Market Reaction:

• Shares of the company came under focus following the announcement, with analysts monitoring the impact on its ongoing projects and credit ratings.

This development underscores the challenges faced by infrastructure firms in executing large-scale railway projects, where contractual disputes can significantly affect timelines and financial stability.

Sources: CNBC TV18, ScanX News, FilingReader