S Ku­mars Pro­moter told to De­posit Pass­port

The Economic Times - - Companies - San­gita.Me­hta @times­group.com

Mum­bai: The Ben­galuru Debts Re­cov­ery Tri­bunal (DRT) has di­rected Nitin Kasli­wal, pro­mot­ers of S Ku­mars Na­tion­wide, to de­posit his pass­port on April 5, fail­ing which the court will con­sider this as a con­tempt of court.

The rul­ing is in re­sponse to a plea made by lenders to re­cover their loans given to Kasli­wal’s com­pany. S Ku­mars Na­tion­wide, which had su­per­star Amitabh Bachchan as brand am­bas­sador for its Reid & Tay­lor brand, was once a lead­ing texti- le and ap­parel com­pany. Lenders have an ex­po­sure of around .₹ 2,500 crore, which is clas­si­fied non-per­for ming as­sets af­ter the com­pany missed mak­ing pay­ments on the due date. Kasli­wal did not re­spond to an email sent by ET seek­ing his com­ments to the devel­op­ment.

This is the sec­ond at­tempt made by banks, in re­cent weeks, to im­pound the pass­port of wil­ful de­fault­ers. Last months, banks led by State Bank of In­dia tried to im­pound the pass­port of Vi­jay Mallya, the pro­moter of de­funct air­lines King­fisher, but he fled the coun­try a few days be­fore the court hear­ing. The court had asked Kasli­wal to de­posit his pass­port a year ago in April 2015. Se­nior bank of­fi­cials said de­spite many re­minders from the court, he has been dilly-dal­ly­ing in sub­mit­ting the pass­port. Now that the court ruled it would be con­tempt of court if he fails to re­pay the dues, lenders have got some hope that they are one step closer to re­cov­er­ing their dues, they said.

A num­ber of lenders have al­ready de­clared S Ku­mars Na­tion­wide and its pro­moter Nitin Kasli­wal as a wil­ful de­faulter a year ago and are now pur­su­ing ev­ery means to bring him to the ne­go­ti­at­ing ta­ble.

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