Delhi Sets Up High-Level Committee to Address Arbitration Losses

Delhi Chief Minister Rekha Gupta initiated a high-level committee to scrutinize arbitration awards over Rs 1 crore within the Public Works and Irrigation Departments from the past two decades, officials announced Wednesday.

Gupta expressed concerns over the financial detriment these arbitration awards have caused. The committee will analyze decisions against the government, quantify awarded payments, and assess economic losses incurred. With the Comptroller and Auditor General as a committee member and the Additional Director General (PWD/I&FC) as member secretary, the committee will be supported by internal finance teams and audit departments.

The initiative, aiming for transparency regarding taxpayer money spending, stems from recent mismanagement cases, including a costly arbitration ruling on the Barapullah Phase-III Corridor. Gupta emphasized removing arbitration clauses in future contracts to prevent further financial mishaps.

(With inputs from agencies.)