CG Power may refuse to repay unapproved loans of its units

Mumbai: The management of CG Power and Industrial Solutions, battling an accounting scandal and charges of fund diversion, is said to be on a possible collision course with lenders involving the likely repudiation of loans worth hundreds of crores of rupees.

These were given to subsidiaries without the authorisation of company directors, two persons aware of the board’s thinking told ET. However, an official spokesman denied this.