ABG Shipyard

ABG Shipyard Ltd is a part of the ABG Group of companies with diversified business interests. Established in 1985,{{Cite web |date=2022-02-14 |title=How ABG Shipyard sunk into ocean of debts and got booked in biggest fraud case |url=https://www.indiatoday.in/india/story/from-largest-pvt-shipyard-firm-to-biggest-fraudster-how-abgsl-sunk-into-ocean-of-debts-1913051-2022-02-14 |access-date=2024-05-16 |website=India Today |language=en}} as Magdalla Shipyard Pvt. Ltd., in May 1995 the company name was changed to ABG Shipyard Pvt. Ltd. after that the company went public and in June 1995 company name was changed to ABG Shipyard Ltd.{{Cite web |title=ABG Shipyard Fraud Explained |url=https://insider.finology.in/business/abg-shipyard-fraud |access-date=2024-05-16 |website=insider.finology.in |language=en}} it is headquartered in Mumbai.{{Cite news|title=Sebi disposes of case against ABG Shipyard|work=The Economic Times|url=https://economictimes.indiatimes.com/markets/stocks/news/sebi-disposes-of-case-against-abg-shipyard/articleshow/72011379.cms?from=mdr|access-date=2021-06-07}} It has shipbuilding operations in Surat and Dahej in Gujarat. Following its acquisition of Western India Shipyard Limited in October 2010, it operates a ship repair unit in Goa which is the largest ship maintenance facility in India.{{cite news|url=http://www.business-standard.com/india/news/abg-shipyard-completes-acquisitionwestern-india-shipyard/112329/on|title=ABG Shipyard completes acquisition of Western India Shipyard|work=Business Standard|location=India|date=15 October 2010|access-date=2011-09-10}}

ABG became one of the largest private ship building companies in India with a capacity to manufacture vessels up to 20 tonnes in weight.{{Cite web|last=Maulik|first=Pathak|title=After 5 auctions, ABG Shipyard assets to be sold privately|url=https://timesofindia.indiatimes.com/city/ahmedabad/after-5-auctions-abg-shipyard-assets-to-be-sold-privately/articleshow/79572631.cms|url-status=live|access-date=2021-06-07|website=The Times of India|language=en|archive-url=https://web.archive.org/web/20201204230042/https://timesofindia.indiatimes.com/city/ahmedabad/after-5-auctions-abg-shipyard-assets-to-be-sold-privately/articleshow/79572631.cms |archive-date=4 December 2020 }} In January 2019, a forensic audit by E&Y revealed that ABG had defrauded a 28-member consortium of bankers to the tune of Rs 22000 crores.{{Cite news|last=Ohri|first=Raghav|title=EY likely to be key prosecution witness in Rs 22,482-crore ABG Shipyard fraud case|work=The Economic Times|url=https://economictimes.indiatimes.com/news/india/ey-likely-to-be-key-prosecution-witness-in-rs-22482-crore-abg-shipyard-fraud-case/articleshow/89579507.cms|access-date=2022-02-15}} Following this in November 2019, State bank of India petitioned CBI to conduct an investigation. CBI asked the bank to investigate at their level to check for involvement of bank insiders which was ruled out subsequently. Post this in September 2020 SBI filed a fresh complaint seeking investigation in to the role of public servants and other persons in the fraud.{{Cite news|last=Ohri|first=Raghav|title=CBI to probe role of 'public servants' in ABG Shipyard bank fraud case|work=The Economic Times|url=https://economictimes.indiatimes.com/news/india/cbi-to-probe-role-of-public-servants-in-abg-shipyard-bank-fraud-case/articleshow/89555410.cms|access-date=2022-02-15}} In February 2022, a look out circular was issued against the ABG former Chairman Rishi Agarwal and others in the case.{{Cite web|date=2022-02-15|title=Explained: India's biggest bank fraud, ABG Shipyard's Rs 23,000-cr scam|url=https://www.cnbctv18.com/finance/explained-indias-biggest-bank-fraud-abg-shipyards-rs-23000-cr-scam-12502552.htm|access-date=2022-02-16|website=cnbctv18.com|language=en}}

ABG Shipyard Ltd builds a range of commercial vessels. These include self-loading and self-discharging bulk carriers, container ships, floating cranes, split barges, anchor handling tugs, dynamic positioning ships, offshore supply vessels and diving support vessels.

ABG Shipyard Ltd was granted clearance from the Government of India to build warships and various other vessels for the Indian Navy. It was the second corporate shipyard to receive this licence after Pipavav Shipyard.

In 2004, it was awarded a contract to build pollution-control vessels for the Indian Coast Guard.{{cite news|url=http://ibnlive.in.com/news/coast-guards-staff-had-role-in-swinging-deal-with-abg/54478-3.html|archive-url=https://archive.today/20130126065148/http://ibnlive.in.com/news/coast-guards-staff-had-role-in-swinging-deal-with-abg/54478-3.html|url-status=dead|archive-date=26 January 2013|title=Coast Guard staff had role in swinging deal with ABG|publisher=IBN Live|date=19 December 2007|access-date=2011-09-10}}{{cite web|url=http://www.rolls-royce.com/marine/news/2004/041025_indian_coastguard.jsp|title=Rolls-Royce and ABG Shipyard Ltd prepare Indian Coast Guard for oil emergency role|publisher=Rolls-Royce plc|date=25 October 2004|access-date=2011-09-10}} In 2009, the Shipyard was selected to build 11 high-speed water jet propelled interceptors for the Coast Guard.{{cite news|url=http://articles.timesofindia.indiatimes.com/2011-03-31/surat/29365136_1_interceptor-boats-abg-shipyard-vessels|archive-url=https://archive.today/20130103074159/http://articles.timesofindia.indiatimes.com/2011-03-31/surat/29365136_1_interceptor-boats-abg-shipyard-vessels|url-status=dead|archive-date=3 January 2013|title=Interceptor boats built by ABG commissioned at Kochi|date=31 March 2011|work=The Times of India|access-date=2011-09-10}}

In June 2011, ABG Shipyard Ltd was awarded a {{INRConvert|9.7|b}} deal to build two cadet training ships for the Indian Navy.{{cite news|url=http://www.thehindubusinessline.com/industry-and-economy/logistics/article2141477.ece|title=ABG Shipyard inks Rs 970-cr deal with Indian Navy|work=Business Line|date=28 June 2011|access-date=2011-09-10}} In January 2012, it won an order of 5 billion order from Shipping Corporation of India taking its order book to about {{INRConvert|200|b}}.{{Cite news|date=2012-02-01|title=ABG Shipyard bags Rs 500 cr order from Shipping Corp|work=Business Standard|location=India|url=https://www.business-standard.com/article/companies/abg-shipyard-bags-rs-500-cr-order-from-shipping-corp-112020100149_1.html|access-date=2021-06-07}} In July 2017, the company agreed to file for insolvency.{{Cite web|last=Pathak|first=Maulik|date=2017-07-20|title=ABG Shipyard agrees to insolvency proceedings|url=https://www.livemint.com/Companies/9l54Fk4aQfCCnkZ7wt84pN/ABG-Shipyard-agrees-to-insolvency-proceedings.html|url-status=live|access-date=2021-06-07|website=mint (newspaper)|language=en|archive-url=https://web.archive.org/web/20170720201848/http://www.livemint.com/Companies/9l54Fk4aQfCCnkZ7wt84pN/ABG-Shipyard-agrees-to-insolvency-proceedings.html |archive-date=20 July 2017 }}

Despite having reputation and success in the ship building industry, in 2012 the finances of ABG started dwindling which was later discovered by a forensic audit by E&Y initiated by SBI. During the audit it was alleged that the top management of the company was involved in diversion of funds causing criminal breach of trust with an intent to use the banks funds for personal gains possibly to tax havens. SBI stated that funds were used to pay other lenders and get letters of credit.{{Cite web|date=2022-02-16|title=LIC sits on over Rs 21,500 cr unclaimed funds|url=https://www.cnbctv18.com/finance/lic-sits-on-over-rs-21500-cr-unclaimed-funds-12513652.htm|access-date=2022-02-16|website=cnbctv18.com|language=en}} Earlier in October 2016, Standard Chartered bank filed a criminal complaint with Economic Offences Wing in Maharashtra for cheating them of Rs 200 crore loan as they failed to repay the short-term loan they sought from the bank in April 2012.{{Cite web|date=2022-02-13|title=No delay in filing complaints against ABG Shipyard: SBI

|url=https://www.rashtranews.com/business-news-no-delay-in-filing-complaints-against-abg-shipyard-sbi/|access-date=2022-02-18|website=Rashtranews.com|language=en-US}}{{Cite web|date=2016-10-10|title=StanChart files criminal complaint against ABG Shipyard, promoter Rishi Agarwal|url=https://www.vccircle.com/exclusive-standard-chartered-files-criminal-complaint-against-abg|access-date=2022-02-16|website=VCCircle|language=en-US}}

• Modest Infrastructure Ltd
• Western India Shipyard
• Bharati Shipyard Limited
• Mazagon Dock Limited

• ABG Interceptor Class fast attack crafts
• ABG Class Pollution Control Vessel
• ABG Class Cadet Training Ship
• Pamba Auxiliary Vessel

{{reflist}}

• [http://abgindia.com/ Official Website]
• Rishi Agarwal Biography
• [https://www.latesthindinewstoday.in/dr-michiaki-takahashi-biography-in-hindi.html/ Dr Michiaki Takahashi Biography]

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Category:Shipbuilding companies of India

Category:Shipyards of India

Category:Manufacturing companies based in Mumbai

Category:Manufacturing companies established in 1985

Category:1985 establishments in Maharashtra

Category:Indian companies established in 1985

Category:Companies formerly listed on the National Stock Exchange of India

Category:Companies formerly listed on the Bombay Stock Exchange