A re­ceiv­er has been ap­point­ed to man­age the sale of Ni­Quan En­er­gy Trinidad’s as­sets.

In a no­tice of ap­point­ment of re­ceiv­er, dat­ed Oc­to­ber 21, Varune Mun­gal is iden­ti­fied as the re­ceiv­er of Ni­Quan.

Mun­gal is the man­ag­ing di­rec­tor of Busi­ness Re­cov­ery and Ad­vi­so­ry Ser­vices Lim­it­ed (BRASL).

In this ca­pac­i­ty Mun­gal has been in­volved in sev­er­al ma­jor in­sol­ven­cy, re­struc­tur­ing, fi­nan­cial due dili­gence and debt ne­go­ti­a­tion en­gage­ments, ac­cord­ing to a pro­file of him on the Min­istry of Fi­nance web­site.

His ap­point­ment is pur­suant to the fol­low­ing:

A mort­gage deben­ture dat­ed Ju­ly 6, 2018;

An amend­ed mort­gage deben­ture dat­ed Ju­ly 30, 2019;

An amend­ed and re­stat­ed mort­gage deben­ture Feb­ru­ary 6, 2020; and

An amend­ed and re­stat­ed mort­gage deben­ture dat­ed Ju­ly 18, 2023.

A re­ceiv­er is de­fined in the Bank­rupt­cy and In­sol­ven­cy Act as a per­son who has been ap­point­ed to take, or has tak­en, pos­ses­sion or con­trol, pur­suant to—

(a) a se­cu­ri­ty agree­ment; or

(b) an or­der of a Court made un­der any law that pro­vides for or au­tho­ris­es the ap­point­ment of a re­ceiv­er or re­ceiv­er-man­ag­er, of all or sub­stan­tial­ly all of—

i) the in­ven­to­ry;

ii) the ac­counts re­ceiv­able; or

iii) the oth­er prop­er­ty,

In Feb­ru­ary 2024, for­mer vice pres­i­dent for Ni­Quan En­er­gy, David Small, filed a pe­ti­tion to have the com­pa­ny wound up. Last year, Small was award­ed a $20,647,017 judg­ment by the courts for breach of con­tract by Ni­Quan as a re­sult of monies owed to him dur­ing his em­ploy­ment.

As part of the le­gal pro­ceed­ings, Small wrote to all the fi­nan­cial in­sti­tu­tions that Ni­Quan does busi­ness with—Re­pub­lic Bank Ltd, Sco­tia­bank Trinidad and To­ba­go, First Cit­i­zens Bank, RBC Roy­al Bank (Trinidad & To­ba­go), PECU Cred­it Union Co­op­er­a­tive So­ci­ety, JMMB Group Trinidad and To­ba­go, First­line Se­cu­ri­ties and the Cen­tral Fi­nance Fa­cil­i­ty Co­op­er­a­tive So­ci­ety—with no­tice of the judg­ment and his in­ten­tion to pe­ti­tion to wind up the com­pa­ny.