MUMBAI: Businessman-Gautam Thapar joined the probe initiated by the ministry of corporate affairs officials investigating alleged financial irregularities in CG Power and Industrial Solutions and is believed to have dismissed the accusations made by the company’s board regarding unauthorised transactions and raised doubts over the credibility of the report submitted by an independent law firm, according to sources in the know of things.Thapar was ousted from the chairmanship of the troubled CG Power and Industrial Solutions last week after alleged irregularities and unauthorised transactions surfaced. He presented himself before the MCA officials on Tuesday, while former chief financial officer of the company VR Venkatesh, who was sacked for his role in the said transactions, was summoned by the MCA team on Wednesday.
“The MCA’s scrutiny of the Vaish Associates report will expose its fragilities and incompleteness. The report is heavily disclaimed by its authors who have put in disclaimers for over two pages. If full information was made available, the preliminary conclusions drawn would be different,” a source close to Thapar told ET on the condition of anonymity.
Queries sent to CG Power remained unanswered till press-time Wednesday.
CG Power had formed an operations committee to work on preserving value after creditors of promoter company, Avantha Holding, started invocation of pledge of CG shares. This committee came across financial transactions that had been made without proper authority, and for further investigation, legal firm Vaish Associate was hired. The probe revealed that the group’s liabilities and advances to certain entities and networth were understated.