NCLT gives 90 more days for Ruchi Soya insolvency process
Mumbai bench of the National Company Law Tribunal (NCLT) has extended the deadline for resolution process of Ruchi Soya Ltd for 90 days.
On Friday, the lawyers representing the resolution professional of the Ruchi Soya had approached the tribunal and argued that the statutory deadline of first 180 days is getting over on June 12 and they need more time to come up with the resolution plan.
“We have got the consent from over 96% of the lenders to extend the deadline and we are seeking for another 90 days to come up with the resolution plan for the company,” argued the lawyers. Law firm Cyril Amarchand Mangaldas (CAM) is representing the RP in the case.
After hearing the plea, the division bench of the tribunal, presided over by BSV Prakash Kumar and Ravikumar Duraisamy had allowed the RP to take another 90 days as per the law.
The company was referred to the tribunal by Standard Chartered Bank as well as DBS Bank, individually and both petitions have been admitted by the court. It owed more than ₹5,300 crore to banks at the end of 2016-17. The company owed around ₹33 crore to Standard Chartered as on February 1, while a sum of around ₹150 crore was owed to DBS Bank in March. Both the banks had filed separate petitions for the recovery.
The company is part of the so-called second list of 28 defaulters the RBI flagged for resolution under its schemes before December, failing which the cases would have had to be filed against these companies at the National Company Law Tribunal. The NCLT admitted Ruchi Soya for insolvency resolution process in December after initiation by Standard Chartered Bank and DBS Bank.
On December 2, Mumbai NCLT had admitted the company for insolvency resolution process under IBC.
Currently, Baba Ramdev’s Patanjali Ayurved Ltd, along with Godrej Agrovet Ltd, Kolkata-based Emami Agrotech, an edible oil and bio-diesel arm of Emami Group and Adami Wilmar are in the fray to acquire the assets of the company.
Earlier, on June 5, the tribunal had directed ICICI Bank to reverse the transactions carried out on Ruchi Soya’s current account, post the commencement of the moratorium and allowed the miscellaneous application filed by the company’s resolution professional (RP).
MUMBAI:The