Deflating DND flyway toll company's claims of having constructed the "best road in the country", the Supreme Court on Friday did not stay the Allahabad High Court verdict to stop charging toll on commuters.
"You claim credit as if you have constructed a road to the Moon. Fine, you have done a good job. People are travelling on it... but don't keep patting yourself on the back for it," Chief Justice of India T.S. Thakur, heading a three-judge Bench, told the toll company.
The Bench said it may consider and even taken on the toll company's suggestion for the apex court to appoint an independent auditor or even have the Comptroller and Auditor General check the cost-expenditures-income derived by the Noida Toll Bridge Company Ltd for having built and operated the eight-lane flyway connecting the National Capital with the neighbouring Noida regions for the past 15 years.
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Appearing for the toll company, senior advocate Abhishek Manu Singhvi said the Allahabad High Court judgment ordered it to stop toll collection without sparing a thought for the "sanctity of contract" which it entered into with the NOIDA authorities in 1993.
Mr. Singhvi said under the contract with NOIDA authorities, the company need to stop toll collection either on touching 20 per cent internal rate of return or on the expiry of 30 years. The senior advocate said they have not even recovered their costs from the project. He said the toll company had run on "minus" income for several years after the flyway started operating in 2001.
"I am a public limited company with 80,000 shareholders. Stopping toll collection now would mean that I have to continue to carpet the road, level potholes and be liable for accidents for another 15 years of the contract period. In short, all accountability is mine, but I get nothing out of it," Mr. Singhvi submitted.
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Mr. Singhvi said stopping toll collection would mean the company would have to dismiss 472 employees manning the booths.
"The High Court says you invested Rs. 300 crore and you have got Rs. 1100 crore and now you go home," Chief Justice observed.
When the court asked NOIDA whether it stood with the public or the toll company, the counsel said he had to take instructions.
"Why your officers did not come or what? Are they not interested in this public issue?" Chief Justice Thakur asked the counsel.
The Bench, also comprising Justices D.Y. Chandrachud and L. Nageshwara Rao, said the company does not lose anything by stopping the toll temporarily for at least a month till an independent auditor comes out with a report on whether or not the company has earned its fill from the project.
"What harm will come to you? The report will come in a month. If the report is in your favour, you will get an extended period for recovery... Besides the rate of traffic is going up and you will earn more... So, what is the problem?" Chief Justice Thakur observed.
The Bench was countering Mr. Singhvi's suggestion to let them continue to collect toll as the auditor works on the report. The collection money would be put in an escrow account for the meantime.
The Noida Residents Association however said that the toll company has collected over Rs. 2,300 crore so far. Besides of the three auditors, two are appointed by the company and one by the Noida, they argued.
The Bench agreed to pass orders by the time the court re-opens after Diwali vacation.