Synopsis: Reliance Power has come under pressure after the US Export-Import Bank filed an insolvency application over a $165 million debt linked to its subsidiary. The company, however, has strongly contested the claim, stating that the debt is not due and is already under arbitration.
Reliance Power Ltd, part of the Anil Ambani-led group, is engaged in the development and operation of power generation projects across India and overseas. The company has been working towards improving its balance sheet and reducing debt, but recent developments have brought fresh legal challenges into focus.
In a significant move, the Export-Import Bank of the United States (US Exim Bank) has filed an application under Section 7 of the…