Megha Engineering Debarred from NHAI Bids Following NH-66 Slope Collapse in Kerala
Kasaragod, June 22, 2025: Hyderabad-based Megha Engineering and Infrastructure Ltd. (MEIL) has been barred from participating in future National Highways Authority of India (NHAI) tenders for one year due to a significant slope protection failure on the Chengala-Neeleshwaram section of National Highway 66 (NH-66) in Kerala. The incident, which occurred on June 16, 2025, at Cherkkala in Kasaragod district, was attributed to improper design, inadequate slope protection measures, and a deficient drainage system, according to an official NHAI statement.
The collapse of the slope protection works, triggered by heavy rainfall, exposed critical engineering lapses in the construction of the 77-kilometer stretch from Chengala to Neeleshwaram, part of a larger NH-66 widening project under the Hybrid Annuity Model (HAM). Under this model, MEIL is responsible for both constructing and maintaining the highway for 15 years. The failure prompted swift action from NHAI, including a show-cause notice to MEIL proposing a one-year debarment and a monetary penalty of up to ₹9 crore. Additionally, the company has been mandated to reconstruct the collapsed slope at its own expense.
Preliminary investigations revealed that MEIL’s approach to slope stabilization was inadequate, with residents reporting that the company merely sprayed a thin layer of cement to stabilize a steep laterite hill cut for the highway widening, instead of implementing robust retaining walls and proper drainage systems. The absence of effective hydrological management exacerbated the collapse during heavy monsoon rains, raising concerns about the company’s adherence to geotechnical standards.
In response, NHAI has constituted an expert committee comprising a senior scientist from the Central Road Research Institute (CRRI), a retired professor from IIT-Palakkad, and representatives from the Geological Survey of India (GSI) to investigate the incident and recommend corrective measures. The committee will assess the design and construction practices to prevent future failures, particularly in Kerala’s monsoon-prone terrain.
The debarment marks a significant setback for MEIL, a major player in India’s infrastructure sector and the second-largest buyer of electoral bonds, having donated ₹966 crore to political parties, including ₹585 crore to the Bharatiya Janata Party (BJP), ₹195 crore to the Bharat Rashtra Samithi (BRS), and ₹85 crore to the DMK. The incident has also drawn public and political scrutiny, with Kasaragod MP Raj Mohan Unnithan criticizing the company’s construction practices and calling NHAI’s action a “welcome decision.” He had previously raised concerns about flaws in NH-66 widening works across Kerala.
This is the second such incident on NH-66 in Kerala within a month. On May 22, 2025, NHAI debarred KNR Constructions Ltd. following a road collapse at Kooriyad in Malappuram district, citing similar lapses in soil assessment and construction quality. The recurring issues have sparked broader concerns about infrastructure safety and the need for stricter oversight and climate-adaptive engineering practices in Kerala’s challenging terrain.
Local protests followed the Cherkkala collapse, with residents highlighting repeated cracks, cave-ins, and flooding along the Chengala-Neeleshwaram corridor. The district collector inspected the site, and traffic was temporarily halted to ensure safety. The incident underscores the critical need for robust geotechnical planning and third-party audits for high-risk infrastructure projects, particularly in monsoon-affected regions.
NHAI has reaffirmed its commitment to quality and safety, stating that such failures will not be tolerated. The authority is reviewing slope design practices across similar HAM and EPC projects in Kerala and other monsoon-prone states to ensure long-term infrastructure resilience.
The collapse serves as a wake-up call for the construction industry, prompting calls for data-driven, site-specific designs and improved drainage systems to mitigate geotechnical risks. MEIL now faces the challenge of rebuilding trust while addressing the financial and reputational fallout from this incident.
