KEC International Shares Plunge 7% as Power Grid Imposes 9-Month Tender Ban Over Bribery Probe Allegations

Mumbai-based EPC giant faces setback from key client amid ongoing CBI investigation into ₹2.5 lakh graft scandal Mumbai, November 19, 2025 – Shares of

International Ltd, a leading engineering, procurement, and construction (EPC) player in the power transmission sector, tumbled over 7% in morning trade on Wednesday following a nine-month debarment from new tenders by Power Grid Corporation of India Ltd (PGCIL), the country's largest transmission utility. The stock, which had gained ground over the past two sessions, reversed course sharply, trading at ₹724.70 on the BSE – down 7.2% from Tuesday's close of ₹781. This marks a significant blow for KEC, which derives a substantial portion of its revenue from PGCIL contracts. Debarment Details and Company Response In a post-market disclosure on November 18, KEC International revealed that PGCIL had barred the company from participating in fresh tenders or being awarded new contracts effective immediately for a period of nine months, until August 18, 2026. The decision stems from "alleged transgression of contractual provisions" and does not impact ongoing projects. The debarment is linked to a high-profile bribery scandal uncovered by the Central Bureau of Investigation (CBI) in March 2025. On March 21, the CBI arrested Uday Kumar, a senior general manager at PGCIL, red-handed while accepting a ₹2.5 lakh bribe from Suman Singh, a deputy general manager at KEC International. The payoff was allegedly intended to expedite bill processing and secure undue favors for KEC in PGCIL contracts.