Khadim India Limited Receives Outstanding Dues Following High Court Affirmation of Arbitral Award
Khadim India Limited has received the outstanding amount of ₹ 31,96,86,729/-, along with applicable interest and related dues, following the judicial resolution of a dispute involving Samagra Shiksha Abhiyan Authority (SSAA), Punjab.The company received the outstanding amount after the Hon'ble High Court of Punjab and Haryana, Chandigarh, issued an order dated May 05, 2026. This ruling confirmed the Arbitral Award that was passed on June 27, 2022, in favour of Khadim India Limited. The High Court's decision reversed the prior finding made by the District Court at Mohali, which had previously decided against the company in favour of the Tenderer.
The dispute centered on the withholding of receivables by the company and the forfeiture of a Performance Bank Guarantee by SSAA, Punjab, through the Director General School Education-cum-State Project Director (DG-School), in connection with a tender for the supply of school shoes and uniform.
Prior to the High Court's confirmation, the initial claim and the financial implications of the dispute were detailed as follows:
| Particulars | Details |
|---|---|
| Arbitral Award Date | June 27, 2022 |
| Company Entitlement | ₹ 31,96,86,729/- (rupees Thirty One Crores Ninety Six Lakhs Eighty Six Thousand Seven Hundred and Twenty Nine) along with interest @ 9% p.a. |
| Forfeited Performance Bank Guarantee | ₹ 1,50,00,000/-(rupees One Crore Fifty Lakhs) and ₹ 35,00,000/(rupees Thirty Five Lakhs) |
| Refund Interest Rate | @ 4.5% p.a. |
The matter originated when the Tenderer, SSAA, Punjab, withheld ₹ 32,00,00,000/- (approximately) and forfeited a Performance Bank Guarantee of ₹ 1,50,00,000/- and ₹ 35,00,000/ in the original tender process. Khadim India Limited sought legal recourse and successfully secured the Arbitral Award, which the Tenderer had challenged in the District Court at Mohali. The company subsequently appealed the District Court's decision to the High Court, leading to the final resolution and receipt of the determined dues.
KHADIM Stock Price Movement
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