Punjab govt pays banks 1,426 crore to finish takeover of GVK Power’s center

The Punjab federal government has actually finished the payment of Rs 1,426 crore to banks led by IDBI to finish the takeover of the financial obligation loaded 540 MW GVK Power’s Goindwal Sahib thermal power plant. The cash was dispersed to banks late on Tuesday night and corresponds to a healing of 43% of their primary charges consisting of some travel through payments which were stuck due to lawsuits in between the plant owners and the federal government. “This is one chunky healing after lots of weeks and will straight enhance bank bottom lines in the 4th quarter. The federal government has actually likewise paid some receivables which were due that has actually enhanced healing,” stated an individual familiar with the deal. IDBI Bank is the biggest recipient from this account getting Rs 306 crore, followed by Punjab National Bank (PNB) which got Rs 165 crore. Union Bank of India and Axis Bank are the other leading loan providers to the account. The business was among lots of coal plants which were stated as NPA after the federal government cancelled coal allowances due to a Supreme Court order quashing 214 blocks in September 2014. The job was developed back in 1994 and had a memorandum of comprehending with the Punjab State Power Corp (PSPC) to provide power for 25 years however the job stopped working to remove due to issues regardi
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