Anil Ambani suffers major setback, his company banned for 3 years due to...

In a major setback to Anil Ambani, Solar Energy Corp. of India (SECI) has barred Reliance Power, its subsidiary Reliance NU BESS Ltd from participating in tenders issued by the state-owned company for three years, Mint reported. The action comes after Reliance companies submitted fake bank guarantees in the last round of bidding in a tender released in June, SECI said.

It added that based on the documents submitted by Reliance NU BESS Ltd., it was found that the endorsement of the bank guarantee against the earnest money deposit was fake. SECI is the government body in charge of implementing the National Solar Mission. Reliance NU BESS submitted a bid for the setting up of 1,000 MW/2,000 MWh standalone BESS projects.

"The bidder, being a subsidiary of M/s Reliance Power Limited, had met the financial qualification requirements using the strength of its parent company. Upon detailed examination of the matter, it was found logical to conclude that all the commercial and strategic decisions undertaken by the bidder were fundamentally driven by the parent company,” it said.

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Besides, Reliance Power, a Rs 17585 crore market cap firm, has said its arm Rosa Power Supply Company has prepaid another Rs 485 crore debt to Singapore-based lender Varde Partners and become a zero-debt company. Rosa Power operates a 1,200 MW coal-based thermal power plant in Rosa village near Shahjahanpur, Uttar Pradesh.