Andhra Pradesh government has issued a pre-closure termination notice for works over ₹3,000 crore, given to Navayuga Engineering Construction. The company has been asked to consent to the termination or exit the project and settle accounts in 15 days. Navayuga is treated as one of the efficient construction companies in india.
jagan and Navayuga are not in talking terms for a long time due in relation to the VANPIC issue. Navayuga initially holds 65 percent stake in VANPIC during the YS Rajasekhar Reddy regime. However, when jagan was in crisis following the CBI cases, Navayuga quietly exited from the VANPIC project and sold the shares to Ras Al Khaimah Investment Authority and Matrix Export.
The sale comes days after Nimmagadda Prasad, promoter of Matrix Enport was arrested by the CBI. jagan is upset with Navayuga for dumping the project when he is in trouble and he took the revenge by damaging the company's image across the globe. On the other side, Navayuga is contemplating legal action on the Andhra Pradesh Government as silently exiting the project will damage their brand image.
