CFM Asset Reconstruction Co invoked the corporate guarantee issued by Anil Ambani’s Reliance Power over a loan default by its subsidiary Vidarbha Industries Power, stock exchange disclosures showed. Reliance Power has disputed the amount claimed by CFM and added that the value of assets is sufficient to recover the money.
Last month, CFM ARC became the new and sole lender of Vidarbha Power after it acquired loans from lenders at Rs 1,265 crore in an all-cash deal.
