New Delhi: Jaiprakash Associates Ltd (JAL) lenders led by ICICI Bank on Wednesday rejected the revised single deal proposal, in which the indebted group had offered a higher down payment and sales of its cement assets.
During a hearing before the insolvency appellate tribunal NCLAT, senior advocate Sajeev Sen, representing ICICI Bank, informed the court about the rejection of the OTS (single settlement) scheme by the lenders.
"The OTS proposal has been rejected by the lenders," Sen said, urging the National Company Law Appellate Tribunal (NCLAT) to pursue the matter on merits.
The NCLAT was hearing a petition filed by Sunil Kumar Sharma, a member of the suspended board of directors of JAL, challenging an order of the Allahabad bench of the National Company Law Tribunal (NCLT).
On June 3 this year, the NCLT bench in Allahabad admitted the six-year-old petition filed by ICICI Bank in September 2018 and appointed Bhuvan Madan as interim resolution professional, suspending the board of directors of JAL.
After a brief hearing on Wednesday, a three-member NCLAT bench, which also included Chairman Justice Ashok Bhushan, ordered the matter to be listed on July 26 for next hearing.
On June 11, a vacant bench of the appellate court had asked the consortium of lenders to examine the OTS filed by JAL before the NCLT.
During the last hearing, JAL stated that the company is willing to make full payment within 18 weeks if the bank accepts the OTS.
In its earlier settlement proposal submitted to NCLT, JAL had offered an upfront payment of Rs 200 crore and the balance of approximately Rs 16,000 crore to be paid on or before 18 weeks from its acceptance.
However, this was dismissed by the Allahabad bench of the NCLT which ordered Corporate Insolvency Resolution Process (CIRP) against JAL.
In its order, a two-member vacation bench of the NCLAT said the JAL may also consider a deposit of a larger amount before the next date of hearing.
After that, JAL increased the initial payment to Rs 500 million.
He had proposed an additional deposit of Rs 300 million in addition to the Rs 200 million already provided.
During a hearing before the insolvency appellate tribunal NCLAT, senior advocate Sajeev Sen, representing ICICI Bank, informed the court about the rejection of the OTS (single settlement) scheme by the lenders.
"The OTS proposal has been rejected by the lenders," Sen said, urging the National Company Law Appellate Tribunal (NCLAT) to pursue the matter on merits.
The NCLAT was hearing a petition filed by Sunil Kumar Sharma, a member of the suspended board of directors of JAL, challenging an order of the Allahabad bench of the National Company Law Tribunal (NCLT).
On June 3 this year, the NCLT bench in Allahabad admitted the six-year-old petition filed by ICICI Bank in September 2018 and appointed Bhuvan Madan as interim resolution professional, suspending the board of directors of JAL.
After a brief hearing on Wednesday, a three-member NCLAT bench, which also included Chairman Justice Ashok Bhushan, ordered the matter to be listed on July 26 for next hearing.
On June 11, a vacant bench of the appellate court had asked the consortium of lenders to examine the OTS filed by JAL before the NCLT.
During the last hearing, JAL stated that the company is willing to make full payment within 18 weeks if the bank accepts the OTS.
In its earlier settlement proposal submitted to NCLT, JAL had offered an upfront payment of Rs 200 crore and the balance of approximately Rs 16,000 crore to be paid on or before 18 weeks from its acceptance.
However, this was dismissed by the Allahabad bench of the NCLT which ordered Corporate Insolvency Resolution Process (CIRP) against JAL.
In its order, a two-member vacation bench of the NCLAT said the JAL may also consider a deposit of a larger amount before the next date of hearing.
After that, JAL increased the initial payment to Rs 500 million.
He had proposed an additional deposit of Rs 300 million in addition to the Rs 200 million already provided.
