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Power & Instrumentation Gujarat Ltd updates on action against Khurana Engineering Ltd

Posted On : 2024-04-02 21:01:15( TIMEZONE : IST )

Power & Instrumentation Gujarat Ltd updates on action against Khurana Engineering Ltd

Power & Instrumentation (Gujarat) Limited, has filed an application under Section 9 of IBC, 2016 against M/s Khurana Engineering Limited seeking initiation of CIRP due to nonpayment of its outstanding dues of ₹ 2,11,81,568 towards the principal amount of unpaid invoices and Claimed interest @24% from 14.05.2015 to 31.05.2022.

Power & Instrumentation (Gujarat) Ltd.'s pursuit of legal recourse through the National Company Law Tribunal underscores the company's steadfast commitment to upholding its rights and seeking justice in cases of non-payment. By invoking Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC), the company has demonstrated its proactive approach to addressing financial disputes and ensuring that its interests are protected within the legal framework provided by Indian law.

The decision by the NCLT to initiate the Corporate Insolvency Resolution Process against M.S. Khurana Engineering Ltd. reflects the tribunal's recognition of the validity of Power & Instrumentation (Gujarat) Ltd.'s claim and the seriousness of the situation. This ruling not only affirms the rights of the applicant but also serves as a warning to other entities that non-compliance with contractual obligations can have significant legal consequences.

Furthermore, the appointment of an Interim Resolution Professional (IRP) to oversee the resolution process demonstrates the NCLT's commitment to ensuring a fair and transparent procedure for all parties involved. The directive for cooperation, asset preservation, and regular reporting emphasizes the importance of adherence to due process and collaboration in resolving insolvency matters.

Power & Instrumentation (Gujarat) Ltd.'s proactive stance in seeking legal redress for non-payment not only safeguards its own interests but also contributes to upholding the integrity of commercial transactions and contractual agreements within the business ecosystem. This case serves as a reminder of the importance of fulfilling financial obligations and the recourse available under the IBC for addressing disputes in a timely and effective manner.

Shares of Power & Instrumentation (Gujarat) Limited was last trading in BSE at Rs. 67.65 as compared to the previous close of Rs. 67.47. The total number of shares traded during the day was 7959 in over 29 trades.

The stock hit an intraday high of Rs. 70.42 and intraday low of 66.60. The net turnover during the day was Rs. 551594.00.

Source : Equity Bulls


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