Chennai: SEPC Limited (NSE: SEPC, BSE: 532945) is acknowledging the interim order from the Hon’ble High Court of Madras issued on February 19, 2026. The ruling, part of ongoing litigation with GPE (India) Ltd and others, involves the interim attachment of trade receivables as the court seeks a time-bound resolution to the dispute. Further, the Court has also appointed PriceWaterhouseCoopers (PWC) to conduct a focused, review of the company’s financial records to determine the amount owed to banks and financial Institutions and the Assets available with SEPC Ltd and submit the report on 23rd March 2026.

The Court ruling is part of an ongoing effort to settle outstanding dues related to a decade-old dispute in which SEPC is one of the Respondent. The Court has ordered the attachment of ₹154.63 crore in receivables out of the Reported receivables of Rs449.62 cr. The company maintains that this is a transitionary measure aimed at ensuring transparency while the final decision of EP petitions is determined.

Crucially, SEPC’s financial exposure is mitigated by a 2015 indemnity agreement with the co- respondent, M/s Twarit Consultancy Services Private Ltd (Twarit). Under this contract, Twarit is legally responsible for covering all liabilities and costs associated with this litigation. The current claim of ₹154.63 crore follows a significant payment of ₹164.5 crore already made by the  co-respondent in terms of the above indemnity agreement.

As a result, SEPC has a neutral financial impact.

To reconcile the company’s court filings with its public financial disclosures, the Court has appointed PWC to conduct an audit to determine the amount owed to banks and financial Institutions and the Assets available with SEPC Ltd and submit the report on 23rd March 2026. The company is fully cooperating with the audit team to ensure a swift resolution and the eventual release of the attached assets.

Meanwhile, SEPC’s consortium of lenders has approached the Court to protect their priority rights as secured creditors.

SEPC continues as a going concern, and remains committed to full transparency and strict adherence to SEBI listing guidelines. Management will continue to provide regular updates to shareholders as the PWC audit concludes and the legal process moves toward its final stages.

The dispute traces back to an original agreement executed in 2010, to which SEPC was not a party. Subsequently, in 2015, a second agreement was entered into where SEPC became one of the parties. The dispute arose in 2017 following an alleged default under the 2015 agreement. The matter thereafter progressed through a Singapore arbitral tribunal and the Indian court system, leading to the current enforcement proceedings.