1 week ago
PPIPL Insolvency Complaint Questions Suraksha ARC Voting Share
Privilege Power and Infrastructure is going through a legal process to resolve its financial problems.
Rakesh Kumar Wadhawan, a suspended company director, filed a complaint with the Enforcement Directorate.
He says Suraksha ARC gained a larger voting share among PPIPL’s creditors.
He believes this may have given Suraksha ARC too much influence over the insolvency process.
He also raised questions about connections between Yes Bank and a Capri Global company involved in the process.
The complaint says these connections could create a conflict of interest, but it does not show that confidential information was actually shared.
The resolution professional was also accused of failing to address these concerns.
Authorities have not yet established whether the allegations are true.
Rakesh Kumar Wadhawan has asked the Enforcement Directorate to investigate PPIPL’s insolvency process and Committee of Creditors voting structure.
Wadhawan alleges Suraksha ARC’s voting share rose from 23.39% to 35.99% through irregular debt assignments and disputed claim recognition.
The ED shared related material with Mumbai Police’s Economic Offences Wing, which added cheating, forgery and forged-document charges in an ongoing investigation.
The complaint alleges a potential conflict involving Rama Subramaniam Gandhi, Yes Bank and Capri Global Ventures, a prospective resolution applicant.
The allegations, including claims against the resolution professional, have not been independently established and remain subject to review of CIRP records and authorities’ findings.
- Who
- Suspended PPIPL director Rakesh Kumar Wadhawan made the complaint; it concerns Suraksha Asset Reconstruction Company Ltd, the resolution professional Anurag Kumar Sinha and other named parties.
- What
- The complaint alleges manipulation of Suraksha ARC’s Committee of Creditors voting share, irregular debt assignments, disputed claims and a potential conflict of interest.
- Where
- The complaint was filed before the Enforcement Directorate, and related material was shared with Mumbai Police’s Economic Offences Wing.
- When
- The complaint was filed on August 20; PPIPL’s insolvency process began under a National Company Law Tribunal order dated February 15, 2023.
- Why
- Wadhawan seeks investigation into the claim-verification process, debt assignments, the increased voting share and alleged influence over PPIPL’s insolvency resolution process.
Complainant’s Allegations
Current Evidentiary Position
Voting share and control
Complainant’s Allegations
Wadhawan alleges Suraksha ARC increased its CoC voting share through irregular debt assignments and recognition of disputed claims to gain greater control over the insolvency process.
Current Evidentiary Position
The complaint records Suraksha ARC as holding a 35.99% voting share, compared with 23.39% earlier, but the legality of the change depends on CIRP records and competent authorities’ findings.
Potential conflict of interest
Complainant’s Allegations
Wadhawan alleges that Rama Subramaniam Gandhi’s roles at Yes Bank and Capri Global Ventures created a potential conflict because a Capri Global entity was a prospective PPIPL resolution applicant.
Current Evidentiary Position
The complaint identifies a potential conflict but does not provide evidence that confidential information was shared or that Gandhi influenced the corporate insolvency resolution process.
Resolution professional’s conduct
Complainant’s Allegations
Wadhawan alleges that resolution professional Anurag Kumar Sinha failed to address the alleged conflict and allowed Suraksha ARC disproportionate influence.
Current Evidentiary Position
The article reports the accusation but does not establish that the resolution professional breached his duties.
Key facts
- Company
- Privilege Power and Infrastructure Pvt Ltd is undergoing insolvency proceedings.
- Complainant
- Rakesh Kumar Wadhawan, a suspended PPIPL director.
- Alleged voting-share change
- Suraksha ARC’s Committee of Creditors share allegedly increased from 23.39% to 35.99%.
- Insolvency start
- The National Company Law Tribunal ordered the process on February 15, 2023.
- ED action
- The Enforcement Directorate shared a dossier with Mumbai Police’s Economic Offences Wing on July 29.
- Added charges
- The Economic Offences Wing added allegations of cheating, forgery and using forged documents in its ongoing investigation.
- Status of allegations
- The allegations have not been independently established.
Sources
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