Lenders Independent Engineer (LIE) Services
Lending institutions appoint Lenders Engineer (“LE”) to monitor & provide an independent review of the progress of the sanctioned projects. LIE plays a key roles in identifying and mitigating risks in sanctioned projects and to safeguard the interests of the lending institutions (banks/ financial institution/ investor).
LIE is required to visit the project site at regular intervals and to provide a complete assessment of project and to appraise the lending institutions about following:
- Physical progress of the project activities
- Estimated expenditure towards the project against observed progress
- To judge and report the quantum of finance actually being contributed and used on the project, so that the misuse of funds can be avoided
- To verify whether the borrower’s obligations under project related licensing agreements are complied with
- To review & comment on various Statutory Approvals and Clearances.
- To verify whether physical progress is in line with project implementation schedule and forecasted project timelines
- To review the drawdown schedule for the planned project activity
LE is also required to check the availability of necessary infrastructure and suitability of the borrowers’ organization and operational readiness of the project under execution. This may also be extended to verification of the completed project and commissioning of any industry.
Delicon has acted as a Lenders Engineer on behalf of various Banks, Private Equity Funds and Financial Institutions on very reputed projects.