By IANS,
New Delhi : The Delhi High Court Friday directed the state government to release the more than Rs.100 crore payable to Ashok Leyland for the supply of low-floor buses.
A bench of Justice A.K. Sikri and Justice Suresh Kait of the Delhi High Court said: “The Delhi Transport Corporation (DTC) should release 80 percent of the invoice, as per the contract term, immediately to Ashok Leyland, the supplier of low-floor buses for the national capital roads.”
After the bench order, the company also agreed to replace the spare parts including the faulty wirings of 116 buses.
The counsel for bus manufacturer told the court that the company is using the highest quality of material so it will take all possible steps regarding the 116 buses which failed a test by the transport department.
Earlier, the bench had allowed the plea of DTC to withhold Rs.312 crore due to Ashok Leyland towards supply of remaining buses as per the contract term till the tests are completed.