August 7, 2026

Central Times

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Expressway

Firm Facing Kanpur Expressway Scrutiny Bags ₹3,483 Crore Worth of New Projects

PNC Infratech has secured two National Highways Authority of India (NHAI) projects worth ₹3,483 crore despite facing scrutiny over alleged construction lapses on the Kanpur-Lucknow Expressway. The company signed concession agreements on July 16, 2026, for two Hybrid Annuity Model (HAM) highway projects along NH-927 in Uttar Pradesh. The contracts cover the construction of four-lane highways connecting Barabanki, Mustafabad, and Biswan. Together, the projects carry a combined bid value of nearly ₹3,500 crore. Authorities plan to complete both highway projects within twenty-four months before operating them for the next fifteen years. The fresh contracts have attracted public attention because NHAI is already reviewing the company’s performance on another major infrastructure project. Questions continue to arise over the decision to award new work while regulatory proceedings remain active against the company.

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PNC Bags ₹3,483 Crore NHAI Projects

The controversy intensified after serious cracks and surface damage appeared on the Kanpur-Lucknow Expressway within weeks of its inauguration. Officials suspended toll collection and ordered immediate repairs after discovering repeated quality concerns across several affected stretches. NHAI reportedly classified PNC Infratech as a non-performer and initiated proceedings that could eventually lead to blacklisting. Authorities have also issued notices and started technical evaluations before making any final decision regarding future action. Despite these developments, the company successfully obtained two new highway contracts from the same authority. The situation has sparked debate among industry observers and policy experts regarding contract awards during ongoing investigations. Many stakeholders believe infrastructure quality and contractor accountability should remain central considerations before approving additional government-funded highway projects.

The first highway project involves constructing the Barabanki-Mustafabad four-lane corridor on National Highway-927 in Uttar Pradesh. The project carries an estimated bid value of ₹1,728 crore and will operate through Barabanki Mustafabad Highway Private Limited. The second project covers the Mustafabad-Biswan four-lane corridor with a bid value of approximately ₹1,755 crore. Mustafabad Biswan Highway Private Limited will execute the second contract under the Hybrid Annuity Model framework. Both infrastructure projects aim to improve road connectivity, reduce travel time, and strengthen transportation networks across important districts. Construction activities will continue according to contractual timelines before long-term operational responsibilities begin. Officials expect these projects to enhance regional economic growth through improved logistics and smoother highway connectivity.

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CBI Probe, Expressway Lapses Under Spotlight

PNC Infratech also remains under investigation in a Central Bureau of Investigation bribery case registered during 2024. Investigators alleged that company-linked individuals arranged a ₹10 lakh bribe connected with highway-related official work and approvals. According to the investigation, an NHAI General Manager-cum-Project Director allegedly accepted illegal gratification for project-related decisions. The CBI arrested the concerned official and named several individuals, including company-associated employees, during its investigation. Investigators conducted searches at multiple locations while examining records and gathering evidence connected to the alleged bribery network. PNC Infratech previously stated that it would cooperate fully with investigating agencies and comply with every legal requirement. The investigation remains ongoing as authorities continue reviewing evidence and legal procedures.

The latest contracts have renewed discussions about procurement standards, regulatory oversight, and transparency within India’s infrastructure sector. Critics argue that authorities should carefully evaluate ongoing investigations before awarding additional public infrastructure contracts to companies. Supporters, however, maintain that contracts should continue unless legal restrictions or formal penalties prevent participation. The NHAI blacklisting process requires technical assessments, official notices, opportunities for defence, and approval from competent authorities before implementation. Until authorities complete the process, the company remains eligible for government tenders under existing regulations. The outcome of ongoing investigations and regulatory reviews will likely influence future decisions regarding the company’s infrastructure projects. Observers continue monitoring developments as authorities balance accountability, legal procedures, and infrastructure development priorities.

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