The National Company Law Appeals Tribunal (NCLAT) allowed a petition filed by Venugopal Dhoot, the former chairman and CEO of the Videocon group, who challenged a June 9 order of the National Company Law Tribunal (NCLT ).
In its order, the court approved a takeover bid of Rs 2,962 crore for its 13 group companies by Twin Star Technologies of Anil Agarwal.
The appeals tribunal sent notices to the resolution professional, the lenders and Twin Star Technologies directing them to file a response by September 17.
“We have reviewed submissions from various parties. We allow the appeal and the respondents are urged to file their response by September 15, 2021 and, thereafter, the rejoinder, if any, be filed by September 17, 2021, ”said a PTI report citing the NCLAT.
The two-member bench comprising Judge JK Jain and AK Mishra registered the case for hearing on September 20.
In June, the Mumbai bench of NCLT gave the green light for Twin Star Technologies’ takeover bid of Rs 2,962 crore for the 13 companies in the Videocon group.
However, this order was stayed by the appeals court on July 19 following petitions filed by two disgruntled creditors of the Videocon group – Bank of Maharashtra and IFCI Ltd – and ordered to maintain the “status quo ante”.
This stay was extended until September 20, the next hearing date on the matter.
Dhoot, in his NCLAT petition, asked to set aside the order made by the NCLT Mumbai court and order the lenders to consider a Rs 31,789 crore settlement plan submitted by him in under section 12A of the Insolvency and Bankruptcy Act. Code (IBC).
The NCLT Mumbai bench by its decree of December 15, 2020 declared that the foreign oil and gas assets of the Videocon group, held through its foreign subsidiaries, had been purchased by Videocon Industries Ltd (VIL) and should be treated as of the assets of VIL. , Dhoot said in his plea.
He claimed that the liquidation value of these oil assets was not less than 15,000 crore rupees. Bids for the oil and gas assets have yet to be decided and Dhoot wants them included in the resolution plan.
Dhoot in his petition said the Resolution Professional (RP) or Creditors Committee (Coc) did not have the authority to separately sell oil assets and consumer durables.
“If the RP had sold oil and durable consumer goods together, the RP would have obtained a minimum of Rs 25,000 crore against a loan of Rs 49,000 crore (Rs 29,000 crore of durable consumer goods VIL and Rs 20,000 crore of oil assets). So the recovery would have been around 50 percent and not 5 percent as seen today, ”the plea said.