Gensol Independent Director Menon Resigns, Says He Wanted to Quit Earlier
In a shocking development, Gensol Engineering independent director Arun Menon has resigned from the company, citing his inability to get clarity on the company’s debt position. Menon’s resignation comes on the heels of the Securities and Exchange Board of India (SEBI) passing an interim order against the company. In an interview, Menon revealed that he had been trying to reach out to Gensol Founder Anmol Jaggi since July-August 2024 to seek clarity on the company’s debt position, but had received no response.
Menon’s resignation is seen as a significant development in the ongoing saga surrounding Gensol Engineering, which has been plagued by controversies and financial issues. The company has been facing allegations of financial mismanagement and has been ordered by SEBI to appoint an independent valuer to determine the value of its assets.
In his resignation letter, Menon stated that he had been trying to get clarity on the company’s debt position for several months, but had been unable to do so. He also expressed his disappointment at not being able to get a response from Jaggi, who he had been trying to reach out to since July-August 2024.
“I had been trying to get clarity on the company’s debt position since July-August 2024, but unfortunately, I have not received any response from the management,” Menon said in his resignation letter. “As an independent director, it is my duty to ensure that the company is run in a transparent and ethical manner. However, my inability to get clarity on the company’s debt position has made it impossible for me to continue in this role.”
Menon’s resignation is seen as a significant blow to the company, which has already been facing difficulties in raising capital and has seen its stock price plummet in recent months. The company’s financial performance has also been under scrutiny, with questions being raised about its ability to meet its debt obligations.
The SEBI order, which was passed in September 2024, directed the company to appoint an independent valuer to determine the value of its assets. The order was passed after the company failed to provide satisfactory responses to SEBI’s queries regarding its financial performance.
Gensol Engineering’s financial struggles have been attributed to its high debt levels, which have been increasing in recent years. The company has been struggling to raise capital to service its debt and has been relying on short-term loans to meet its financial obligations.
In a statement, Menon said that he had tried to resign earlier but was told to wait till the IPO of another Gensol subsidiary concluded. “I had tried to resign earlier, but was told to wait till the IPO of another Gensol subsidiary concluded,” Menon said. “However, I could not wait any longer and had to take the decision to resign.”
Menon’s resignation is seen as a significant development in the ongoing saga surrounding Gensol Engineering. The company’s financial struggles have raised concerns about its ability to recover and meet its debt obligations. The SEBI order and Menon’s resignation have added to the uncertainty surrounding the company’s future.
In conclusion, Menon’s resignation is a significant blow to Gensol Engineering, which is already facing difficulties in raising capital and has seen its stock price plummet in recent months. The company’s financial struggles have raised concerns about its ability to recover and meet its debt obligations. The SEBI order and Menon’s resignation have added to the uncertainty surrounding the company’s future.
