Madras HC Rejects Challenge to ₹2,100 Cr ECR Road Tender Favoring KNR Constructions
January 29, 2026
The Madras High Court on Thursday dismissed a petition by Dilip Buildcon challenging the tender process for a ₹2,100 crore road project along Chennai's East Coast Road (ECR). The project includes a four-lane elevated corridor from Thiruvanmiyur to Uthandi and widening the ECR to six lanes. Justice P.T. Asha rejected Dilip Buildcon's claim that Tamil Nadu State Highways Authority (TANSHA) favored KNR Constructions. The court also lifted an interim stay granted earlier.
Dilip Buildcon alleged that TANSHA unfairly rejected their technical bid without reason and extended the deadline only to benefit KNR, which was blacklisted by the Union Ministry of Road Transport and Highways in May 2025. However, KNR denied the charge, saying the blacklist was temporary and ended before the tender invitation on August 25, 2025.
KNR explained it had legally challenged its suspension, and the Delhi High Court ruled the suspension expired July 11, 2025. KNR said it disclosed this to TANSHA during bidding and claimed it is a reputed company with many successful projects, including a 10.10 km elevated highway in Coimbatore.
TANSHA stated the petition was premature since the tender process and negotiations were still ongoing and not finalized. The court's decision now allows the ECR road project to move ahead without legal hurdles.
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Tags:
Madras high court
Tender Process
Ecr Project
Dilip Buildcon
Knr Constructions
Tansha
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