Deal cemented

Binani Cement’s accumulated debt to lenders

₹ cr ₹

Ultratech Cement's approved offer to to pay off Binani

Cement debts

₹

What Ultratech had offered earlier

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Offer by Dalmia Bharatcontrolled Rajputana Properties bench of the NCLT. As many as 28 operational creditors approached the bankruptcy court on Tuesday claiming settlement of their dues of more than ₹380 crore.

“The matter of Binani Cement decided by NCLAT will not directly affect the hearing or outcome of the Essar Steel matter as far as the ‘operational creditors’ are concerned because there is a fundamental difference in the treatment of operational creditors in the plan proposed by Arcelor Mittal and Ruias,” said Ashish K Singh, managing partner of law firm Capstone Legal. “In the case of Binani Cement, Ultratech Cement had proposed that operational creditors would not have to take any haircut.”

In its order, the NCLAT also said an insolvency application once filed cannot be withdrawn at a later date merely because the promoter of the financially stressed company has offered to pay all outstanding dues.