Business Bureau :
Twenty contractors alleged that injustice had been done to them as they failed to get back their payments from a company that had gone for liquidation by the National Company Law Tribunal. (NCLT). Addressing a press conference held here on Tuesday, Sanjay Chopde of Balaji Associates, and 19 representatives of other contractors, said they a provision of only Rs 5 crore was made for operational creditors / contractors against their total outstanding dues of Rs 1,844.69 crore. The provision is just 0.26% of their actual claim. Recently, the NCLT had passed an order to sale Sai Wardha Power Generation Co. Ltd. (SWPGL) at Rs 660 crore as against total liability of Rs 6,584.66 crore.
SWPGL located in Warora in Chandrapur, is a coal based power plant which was owned by KSK Energy Venture, Hydrabad. The company had availed loan of Rs 4,738.30 crore from 15 financial institutions. Due to non payment of outstanding, one of the creditors / contractors had approached NCLT for insolvency. NCLT had approved resolution plan on October 17, 2019 for Rs 660 crore as against huge outstanding of Rs 6,584.66 crore.
As per this plan provision of only Rs 5 crore was made for operational creditors / contractor against their total outstanding of Rs 1,844.69 crore. Chopde said, “The contractors had paid salaries, wages, PF, ESIC and Service Taxes of their employees. But now they are getting only 0.26 per cent of outstanding amount, whereas SWPGL’s own employees are getting 100 per cent of their claims.” They also raised the question how the bankers had released loan of Rs 4,738.30 crore against the plant liquidation value of Rs 597 crore. Why these contractors who had engaged manpower on behalf of SWPGL and paid salary and wages along with all statutory dues are not getting 100 per cent dues settled against total outstanding of Rs 18 crore. The matter needs to be investigated and the defaulters should be punished and the local contractor. 100 per cent payment of dues is the main demands of the contractors.