CG Power hits lower circuit for second straight session

NEW DELHI: Shares of CG Power and Industrial Solutions hit lower circuit of 20 per cent for the second straight session on Wednesday after the company on Tuesday said an investigation by its board found major governance and financial lapses, including advances to related and unrelated parties as well as liabilities of the company and the group potentially being understated by hundreds of crores of rupees.

The company’s current and past employees, including unnamed non-executive directors and certain key managerial personnel provided certain assets of the company as collateral and made the firm a co-borrower or guarantor to obtain loans without due authorisation.