The problems of Anil Ambani, the younger brother of leading Asian businessman Mukesh Ambani, show no signs of abating. Now, just a few days ago, good news had come about his company Reliance Power but Solar Energy Corporation of India increased its tension. In fact, SECI has issued a showcause notice to Anil Ambani’s Reliance Power. The SECI has issued a notice asking why criminal proceedings should not be initiated against the company.
This notice was sent at a time when the company’s subsidiary was accused of submitting false documents, including a foreign bank guarantee, in the bid for a clean energy project. After this news, Reliance Power’s share continues to fall, due to which the company and Anil Ambani are suffering huge losses.
What did the SECI say in the notice?
According to Reuters news agency, SECI emphasized in the notice that there was a deliberate attempt to undermine the bidding process and gain an unfair advantage by repeatedly submitting false documents. However, Reliance Power has not responded to this. In the case of fake documents, Reliance Power and its subsidiary Reliance NU BESS Limited have been banned for 3 years from participating in SECI tenders.
The matter relates to the Request for Selection (RFS) issued for installation of 1,000 MW/ 2,000 MWh single base BESS projects under public bidding conducted by the SECI. SECI was forced to cancel the bidding process after irregularities were found following the electronic reverse auction.
Good news in quarterly results
Reliance Power’s profit in the second quarter of the current financial year 2024-25 was Rs 2,878.15 crore. The company suffered a loss of Rs 237.76 crore in the second quarter of 2023-24 last year. The company’s total revenue declined to Rs 1,962.77 crore in the quarter, down from Rs 2,116.37 crore in the year-ago period.
