The Amaravti bench of National Company Law Tribunal (NCLT) admitted insolvency petition filed against BGR Energy Systems Ltd. The petition was filed by the company’s operational creditor RDC Concrete India Private Ltd.
In a stock exchange announcement, the BGR said RDC Concrete India Private Ltd claimed a default of around ₹7.20 crore and the NCLT passed an order initiating corporate insolvency resolution process (CIRP) on April 3. The NCLT also appointed P.V.B. Sudhakararao as an interim resolution professional for BGR Energy.
Meanwhile, Sudhakararao asked BGR Energy’s creditors to submit their claim details with proof by April 17, according to a public announcement. BGR Energy’s CIRP is likely to be completed by September 29, according to the announcement.
Last year, BGR in a stock exchange announcement said it has received communication from three of its bankers that the company’s accounts have been downgraded as non-performing assets (NPAs).
In 2023, Tamil Nadu’s power distribution utility TANGEDCO issued a show cause notice to its contractor BGR over an inordinate delay in commencement of work for the 660-MW Ennore Thermal Power Station (ETPS) expansion project.
Earlier this year, Tamil Nadu Transmission Corporation Limited terminated a ₹224.29 crore (including GST) contract awarded to BGR Energy Systems for establishment of 400/230-110 kV Air Insulated Substation at Edayarpalayam in Coimbatore, citing poor progress of work as the reason.
