Fri Nov 08 02:05:20 UTC 2024: ## Reliance Power to Challenge SECI Ban After Fake Bank Guarantee Scandal
Reliance Power Ltd. has announced it will legally challenge a three-year ban imposed by the Solar Energy Corporation of India Ltd. (SECI) after a subsidiary, Reliance NU BESS, was found to have submitted a fake bank guarantee in a recent tender.
Reliance Power maintains that the company acted in good faith and has been the victim of fraud. They have filed a criminal complaint against a third party with the Delhi Police Economic Offences Wing.
The ban stemmed from a 1 gigawatt solar power and 2 gigawatt standalone battery energy storage system tender in June, where Reliance NU BESS was found to have used a fake bank guarantee to meet financial requirements. SECI concluded that the parent company, Reliance Power, was responsible for the subsidiary’s actions and therefore barred both from future tenders.
Reliance Power claims the fake guarantee was the result of actions by a third-party arranger, a claim that SECI disputes. The company states they will take all necessary legal action to overturn the ban, citing their responsibility to over 40 lakh shareholders.
The controversy has led to the cancellation of the bidding process and the potential for further legal action as Reliance Power fights the SECI ban.
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