BGR Energy Systems Limited has received a significant reprieve as the National Company Law Appellate Tribunal (NCLAT), Chennai Bench, suspended the operation of the NCLT order that had admitted Corporate Insolvency Resolution Process (CIRP) proceedings against the company. The development was formally communicated to stock exchanges under Regulation 30 of the SEBI Listing Regulations.

NCLAT Order and Settlement Discussions

The NCLAT passed the suspension order during proceedings on April 30, specifically citing ongoing settlement discussions between the parties. The tribunal noted that Respondent No.1 (National Asset Reconstruction Company Ltd.) had confirmed that a settlement proposal extended by the appellant was under consideration, subject to revision in the offer.

Appeal Background and Parties

The appeal was filed by Arjun Govind Raghupathy, Suspended Director of BGR Energy Systems, against National Asset Reconstruction Company Ltd. and others. The original NCLT order had admitted a Section 7 application against the company vide order No. CP (IB)/58/7/AMR/2024 dated April 17.

Current Status and Next Steps

The NCLAT clarified that the suspension order should not be construed as merit adjudication of the stay application. The tribunal emphasized that the decision was made exclusively based on the ongoing settlement negotiations. Accordingly, the CIRP proceedings are presently stayed and inoperative until the next hearing.

The matter has been scheduled for the second week of June, with the tribunal directing respective counsels to inform about developments arising from settlement steps taken by the parties. The impugned order of April 17 will not be given effect until the next date of listing on June 15.

Source: None/Company/INE661I01014/d3e36804bf504ade.pdf

BGR Energy Systems Limited has intimated the National Stock Exchange of India Limited and BSE Limited regarding a Public Announcement made pursuant to the order passed by the Hon'ble National Company Law Tribunal, Amaravati Bench on 17th April 2026. The intimation, dated 28th April 2026, was submitted in compliance with Regulation 30(2) read with sub-clause 16(d) of Para A of Part A of Schedule III of SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015.

NCLT Order and Public Announcement

The Hon'ble National Company Law Tribunal, Amaravati Bench delivered the order on 17th April 2026 in matter CP (IB)/58/7/AMR/2024 under Section 7 of the Insolvency and Bankruptcy Code, 2016. The tribunal admitted the petition for initiating the Corporate Insolvency Resolution Process (CIRP) against BGR Energy Systems Limited. Pursuant to this order, a Public Announcement has been made in accordance with Section 15 of the IBC and regulations framed thereunder.

The company has submitted copies of newspaper advertisements for the public announcement dated 24th April 2026, published in Business Standard (English), Prajasakti (Telugu), and Madras Mani (Tamil), to the stock exchanges for their records.

Financial Default and Claims

The total default amount considered by the tribunal stands at Rs.584,67,81,149 as on 31st August 2024. The debt comprises fund-based and non-fund based facilities across three projects: APGENCO, GHATAMPUR (NUPPL), and OPGCL.

Interim Resolution Professional Appointment

Mr. Dommeti Surya Rama Krishna Saibaba has been appointed as the Interim Resolution Professional (IRP) with registration number IBBI/IPA-003/IP-N000165/2018-2019/12106. The tribunal has declared a moratorium under Section 14 of the Insolvency and Bankruptcy Code, which prohibits the institution of suits, transfer of assets, foreclosure of security interests, and recovery of property during the CIRP period.

Background and Proceedings

The insolvency petition was initially filed by Canara Bank on 7th November 2024. Following a Joint Assignment Agreement dated 29th September 2025, National Asset Reconstruction Company Limited (NARCL) was substituted as the financial creditor through Interlocutory Application IA(IBC)/366/2025, which was allowed by the NCLT on 1st April 2026. The petition was e-filed on 24th October 2024 and physically filed on 7th November 2024, within the limitation period. The company incurred continuous losses during financial years 2020-21 to 2022-23, and loan accounts were classified as NPA effective from 30th June 2022.