Mumbai: Amid a tussle with the Mumbai Metropolitan Regional Development Authority (MMRDA), the government agency implementing Mumbai’s Metro projects, French firm Systra struck a conciliatory note Thursday, stating that its sole objective is to restore its relationship with the authority.
Systra has been working with the MMRDA as a consultant on a number of Metro projects.
In a statement Thursday, Systra said it passed on information to the French embassy in October 2024 with the “sole aim of restoring the deteriorated situation with the MMRDA.”
In a letter, which the French embassy forwarded to the resident commissioner of Maharashtra in Delhi, Systra had made allegations of graft against the MMRDA, including indirectly against the MMRDA commissioner. In the letter, which came to the fore Tuesday following a Times of India report about it, Systra accused the MMRDA of undue pressures and delaying payments.
The MMRDA fought back with a 28-page point-by-point response, dismissing the allegations as “baseless” and a “deliberate attempt to malign the reputation of MMRDA.” The authority also flagged alleged lapses by Systra, such as violation of labour laws, breach of confidentiality, possible security breaches, safety issues, and so on.
In its statement Thursday, Systra said allegations made by “certain sections within MMRDA” are “misleading”.
It said the company has a long working relationship with the MMRDA, having collaborated on projects implemented by the agency since 2007. The company pointed out that it was also involved in the detailed design and project management of Mumbai’s very first Metro line, which opened for commuters in 2014.
It added, “The company does not wish to take any political stance and deplores the political exploitation of the situation. Our sole objective is to restore the relationship with MMRDA, while respecting the ethical principles that are part of our policy.”
In the statement, Hari Somalraju, CEO of Systra India, said, “SYSTRA will continue to work closely with all stakeholders, including MMRDA, to ensure that projects move forward smoothly. The company is also engaging with the authorities to clear any misunderstandings and reinforce its commitment to ethical business practices.”
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The Systra-MMRDA conflict
Systra has been working with the MMRDA on multiple projects, providing general consultancy services for Mumbai Metro Lines 5, 9, and 7A for the civil work, along with a separate contract for these lines covering technological systems. Additionally, it has been engaged in general consultancy services for the systems work of Line 6 and general consultancy services for the civil works of Lines 10 and 12.
It has also been associated with the MMRDA for detailed design consultancy services for Metro Lines 2, 4, and 7, as well as for drafting branding guidelines for all MMRDA Metro lines.
In January 2024, the MMRDA issued payment suspension notices to Systra for some of its Metro contracts.
In its letter to the French embassy in October 2024, Systra alleged that its “harassment” by MMRDA officials began in August 2023 after a leadership change in the MMRDA.
In January 2025, the MMRDA issued a termination notice to Systra for its general consultancy contract for the civil works of Lines 5, 7A, and 9.
The Bombay High Court Tuesday quashed the termination notice, calling it “arbitrary and unfair”, while directing the MMRDA to take a fresh decision on termination or otherwise after giving Systra a hearing.
The MMRDA, in a statement Tuesday, said the order “reinforces MMRDA’s procedural integrity and its rightful discretion in the matter.”
Systra, in its statement Thursday, also said it welcomes the decision.
(Edited by Radifah Kabir)
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