CFM Asset Reconstruction Pvt Ltd was one of the four ARCs that were searched by Income Tax department in December 2021. Following these searches, the Reserve Bank of India (RBI) carried out special audit of these ARCs and based on outcomes issued them show cause notices in May 2023. Such taint notwithstanding, CFM Asset Reconstruction Pvt. Ltd has been handed over a 600 MW plant of Vidarbha Industries Power Ltd (VIPL), without any challenge from any other bidder, for Rs 1,265 crore.
