Supreme Court Mandates Compensation: Chandigarh Administration to Pay Parsvnath Developers

In a significant legal development, the Supreme Court has directed the Chandigarh Administration to compensate Parsvnath Developers Ltd. with a sum of 477.5 million rupees. This ruling resolves a prolonged dispute concerning the Multimedia-cum-Film City project in Chandigarh, which Parsvnath Developers had secured in 2007 with an upfront payment of 47.75 crore rupees. The project faced delays due to administrative challenges, including issues with demarcation plans and high-tension power lines.

The court's directive includes a reduced interest rate of 8% on the amount, with a strict deadline for payment set as June 30, 2025. Failure to meet this deadline will result in an increased interest rate of 12% per annum. This judgment highlights the judiciary's role in ensuring accountability and timely resolution of disputes in infrastructure projects.

Key Highlights:
- Supreme Court orders Chandigarh Administration to pay 477.5 million rupees to Parsvnath Developers.
- The dispute originated from delays in the Multimedia-cum-Film City project awarded in 2007.
- Payment deadline set for June 30, 2025, with penalties for non-compliance.

Source: Indian Express, Supreme Court Cases.