Five major stressed power producers are preparing to oppose insolvency proceedings on the grounds that lenders filed petitions against them as per a central bank circular on debt resolution that was recently quashed by the apex court, people familiar with the plans said.
The five power projects of Lanco Amarkantak, Avantha Power, KSK Mahanadi, Rattan India Power (Amravati project) and Rattan India Nashik Power (formerly Indiabulls) account for over Rs 50,000 crore of unpaid dues. Power Finance CorporationNSE -0.95 % and Axis BankNSE 1.11 % filed the insolvency petitions in the five projects, though all major lenders are part of the consortia that provided the loans.
