Jaiprakash Power settling NARCL claim for Rs 511 crore

has agreed to settle its claim with the National Asset Reconstruction Company Ltd. (NARCL) for ₹511 crore as full and final payment. The development is significant because the company had been facing insolvency proceedings initiated by NARCL earlier this year. The settlement provides a potential route towards withdrawal of the proceedings, subject to fulfilment of the agreed conditions. NARCL had filed an application under Section 7 of the Insolvency and Bankruptcy Code against Jaiprakash Power in February 2026, relating to a claim arising from a corporate guarantee provided by the company to Jaiprakash Associates. The amount cited in the original filing was approximately ₹511.7 crore, plus interest and other charges. Under the latest settlement, Jaiprakash Power will make a ₹511 crore payment, following which the IBC proceedings are expected to be withdrawn once all settlement conditions are fulfilled and definitive agreements are executed.