BHEL Files ₹143.21 Crore Recovery Suit Against Raichur Power Corporation

BHEL disclosed that it has filed a suit before the Bengaluru Commercial Court seeking recovery of dues from Raichur Power Corporation.

The claim relates to amounts allegedly payable under contracts for supply and services for 2 x 800 MW units and associated works for Yeramaras Thermal Power Station.

Legal Action:

• Commercial recovery suit filed by BHEL
• Claim seeks recovery of unpaid contractual dues
• Matter now subject to court process

Contract Background:

• Related to supply and services contract
• Covers 2 x 800 MW thermal units
• Linked to Yeramaras Thermal Power Station

Financial Relevance:

• Recovery claim value: ₹143.21 crore
• Potential positive if recoverable
• Uncertain timing of realization

Note: This is classified as Material Events because litigation is a price-sensitive disclosure, even though the suit aims to recover money.

Key Risks

• Delay in legal resolution
• Partial or unsuccessful recovery
• Extended litigation costs
• Counterclaims or disputes from defendant

Worst Case Scenario

Recovery is delayed or unsuccessful, leading to receivable stress and prolonged litigation exposure

Risk Level: Medium

• Legal action initiated to recover amounts due to BHEL
• Suit filed before Bengaluru Commercial Court
• Disclosure made under Regulation 30(4)