JSW Energy on Tuesday said its subsidiary JSW Mahanadi Power Company has received a demand of ₹1,447.34 crore from the Water Resources Division, Janjgir, Chhattisgarh, towards water charges, most of which relate to a period prior to the approval of the company’s resolution plan under the Insolvency and Bankruptcy Code (IBC).
“JSW Mahanadi Power Company Limited (JMPCL), a subsidiary of JSW Energy Limited, has received a demand from the Water Resources Division, Janjgir, Chhattisgarh, seeking ₹1,447.34 crores towards water charges, majorly pertaining to the period prior to approval of the Company’s resolution plan for JMPCL under the Insolvency and Bankruptcy Code, 2016 (IBC),” the company said in its exchange filing.
In a regulatory filing, JSW Energy said the demand pertains largely to liabilities that arose before the National Company Law Tribunal (NCLT) approved the resolution plan for the subsidiary.
The National Company Law Tribunal, in its February 13, 2025, order approving the plan, had ruled that all crystallised and unclaimed liabilities as on that date would stand extinguished, and that creditors could not raise claims beyond those recognised in the resolution plan.
“Post implementation of the resolution plan, the company has been regularly paying water charges,” JSW Energy said, adding that, based on judicial precedents under the IBC and the plan approval order, it believes the latest claim is not payable.
The subsidiary has challenged the demand before the High Court of Chhattisgarh at Bilaspur, the filing said.
