RCap resolution: NCLAT issues notices to Torrent Investments, others on lender's plea
- Country:
- India
The National Company Law Appellate Tribunal (NCLAT) on Tuesday issued notices to Torrent Investments and other respondents on a petition filed by the lender of Reliance Capital seeking a second round of financial bids for the debt-ridden firm, currently going through insolvency resolution process.
A two-member NCLAT bench headed by Chairperson Justice Ashok Bhushan issued notices, directing respondents to file replies within 3 days.
The appellate tribunal has directed to list the petition on February 9, 2023, saying the appeal would be heard and decided by it.
Vistra ITCL (India) Ltd, one of the members of the Committee of Creditors of Reliance Capital, has moved NCLAT against an NCLT order.
On February 2, the Mumbai bench of National Company Law Tribunal (NCLT) had ruled against holding a fresh round of auction for the takeover of Anil Ambani-promoted Reliance Capital (RCap) and said the challenge mechanism for financial bids has already concluded.
It upheld the plea by Torrent Investments challenging bankers' decision to go for the second round of auctions in pursuit of higher value for the bankrupt company.
NCLT in its order said the bench allows Torrent Investments' application and declared that the challenge mechanism for financial bids stood concluded as on December 21, 2022, with the bid of the applicant at Rs 8,640 crore being the highest.
Torrent Investments had filed a plea on January 9, requesting the tribunal to quash the lenders' plan to hold a fresh auction for the takeover of RCap.
Torrent Investment was the highest bidder offering Rs 8,640 crore in the last round of the 'challenge mechanism'.
Reliance Capital has a consolidated debt of about Rs 40,000 crore.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)
ALSO READ
Mumbai and Neighbouring Districts Brace for Heavy Rainfall
Mumbai Welcomes Back Rains: Relief from Heatwave
Navi Mumbai Man Accused of Rs 12.65 Lakh Job Scam and Instagram Hack
16 National Awards for e-Governance to be Conferred at Mumbai Conference
Mumbai to Host Business Expo and Summit 2024 Featuring Excellency Awards