The Bombay High Court on Friday upheld the Maharashtra government’s decision to cancel Seclink Technologies’ winning 2019 bid for the Dharavi slum redevelopment project and issue a fresh tender in 2022. The new tender resulted in the project being awarded to Adani Properties.
A bench comprising Chief Justice DK Upadhyaya and Justice Amit Borkar dismissed Seclink’s petition. The court had reserved its judgment on August 8 after hearing both parties. Seclink challenged the state’s decision to annul its ₹7,200 crore winning bid and replace it with a fresh tender process.
Seclink had initially won the bid for the redevelopment project in 2019, surpassing Adani’s ₹4,539 crore bid. However, in 2022, the Maharashtra government, led by Chief Minister Eknath Shinde, included 45 acres of railway land in the project for slum rehabilitation. This was not part of the original 2019 plan. The state sought legal advice on how to manage the additional costs of acquiring the railway land. Advocate General Ashutosh Kumbhakoni recommended launching a new bidding process to reflect the updated scope.
Seclink contended that the inclusion of railway land had already been factored into its 2019 bid, which included nearly 90 acres of railway land. The company argued that the cancellation of its bid was unjustified and that the new tender terms were specifically designed to disadvantage them and benefit Adani. Seclink also claimed it suffered a financial loss of ₹8,424 crore due to the cancellation.
The state government defended its actions, stating that the revised conditions were a response to the changing economic landscape, including the effects of the COVID-19 pandemic, the Russia-Ukraine war, fluctuations in the currency exchange rate, interest rate changes, and an overall high-risk environment for investors. The government argued that the updated tender process was necessary to ensure the project remained financially viable and aligned with the public interest.
Representing Seclink, Senior Advocate Virendra Tulzapurkar, along with advocates Mandar Soman, Suraj Iyer, Jenil Shah, Devendra Ailawadi, Mani Thevar, Anuj Singh, and Abhishek Karnik, argued the petition. The state was represented by Senior Advocate Milind Sathe, along with Additional Government Pleaders Jyoti Chavan, and Atul Vanarse, and advocates Bhushan Deshmukh and Aditya Mhase. Senior Advocate Ravindra Kadam, along with Senior Advocates Vikram Nankani, Zal Andhyarujina, and advocates Rohan Kadam, Karan Bhide, Rati Patni, Kathleen Lobo, and Vikrant Dere, represented Adani Properties.