Lucknow Development Authority has issued a show-cause notice to PNC Infratech over a ₹194.40 crore Green Corridor contract after NHAI debarred the company for three years following deficiencies linked to the Kanpur-Lucknow Expressway.

PNC Faces LDA Notice Over ₹194.40 Crore Shaheed Path Project

The420 Correspondent
4 Min Read

Lucknow. PNC Infratech Limited is facing another challenge after serious construction-related deficiencies were reported on the Kanpur-Lucknow Expressway. After the National Highways Authority of India (NHAI) debarred the company from bidding for new projects for three years, the Lucknow Development Authority (LDA) has also sought an explanation from the company. LDA has issued a show-cause notice to PNC over the award of work worth around ₹194.40 crore under the Green Corridor project. The authority will decide its next course of action after receiving the company’s response.

According to LDA Vice-Chairman Prathamesh Kumar, the Green Corridor project includes the construction of a four-lane flyover, loops and ramps at the Shaheed Path intersection. A tender process for the project, estimated at around ₹215 crore, was initiated on March 19. Four companies, including PNC, were shortlisted during the technical bid evaluation on April 11. The financial bids were opened on May 7.

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PNC Infratech submitted the lowest bid of ₹194.40 crore and was subsequently declared the L-1 bidder. Following the completion of the tender process, LDA issued a Letter of Award (LoA) to the company on May 27. At that time, no such action or dispute against the company was known to LDA that would have raised questions over its eligibility.

According to LDA officials, the tender process was completed in accordance with the prescribed rules. The company was selected after technical and financial evaluation on the basis of the lowest bid. Around one-and-a-half months after the LoA was issued, the Kanpur-Lucknow Expressway was inaugurated. Subsequently, reports of road subsidence and several construction-related deficiencies began to emerge on the expressway.

Following these deficiencies, NHAI took action against PNC after an inquiry and on September 3 debarred the company for three years. The company has also been declared a non-performer. Following the NHAI action, LDA began reviewing the LoA already issued for the Green Corridor project and the company’s current status. As part of the process, the authority issued a show-cause notice asking PNC to clarify its position.

The key issue before LDA now is the impact of NHAI’s action on the Green Corridor contract. After receiving PNC’s response, the authority will examine the facts presented by the company along with documents related to the NHAI action. A decision will then be taken on whether the contract will continue, whether any changes are required, or whether further action needs to be initiated under the applicable rules.

Expressway Built at a Cost of Around ₹4,700 Crore

The Kanpur-Lucknow Expressway is around 63 kilometres long and was constructed at an estimated cost of ₹4,700 crore. After deficiencies related to road quality and safety emerged, NHAI barred PNC from participating in the bidding process for its new projects for three years. The authority has also classified the company as a non-performer.

Toll collection on the expressway has also been suspended in view of passenger safety. According to NHAI, toll will not be collected until repairs are completed and safety-related deficiencies are addressed. The show-cause notice issued by LDA has now brought PNC’s role in the Green Corridor project under review as well. The authority’s next step regarding the project will become clear after the company submits its response.

About the author — Suvedita Nath is a science student with a growing interest in cybercrime and digital safety. She writes on online activity, cyber threats, and technology-driven risks. Her work focuses on clarity, accuracy, and public awareness.

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