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Declare Tata Steel's bid for Electrosteel 'ineligible': Renaissance Steel

Renaissance Steel is contesting Rs 53200 million resolution plan by Vedanta group for Electrosteel, which was approved by the Kolkata bench of the NCLT, before the appellate tribunal

Press Trust of India  |  New Delhi 

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has approached the (NCLAT) requesting to declare "ineligible" the Tata Steel's bid for the debt-ridden Steels under the and Code.

An NCLAT bench headed by Justice S J Mukhopadhyaya has issued notice to Tata Steel, which was the second highest bidder, and the resolution professional of over it.

It has also directed them to file reply within a week and directed to list the matter for hearing on May 28.

In its petition, has requested the NCLAT to "pass an appropriate order declaring Ltd as ineligible under section 29 (D)" under the and Code.

During the proceedings, Rajiv Nayar, appearing for Tata Steel, contended that the entire exercise is now academic only because it was the second highest bidder for Steels.

is contesting Rs 53200 million resolution plan by for Electrosteel, which was approved by the Kolkata bench of the NCLT, before the appellate tribunal.

Yesterday, the NCLAT had admitted the petition of Renaissance Steel challenging Vedanta's bid for Electrosteel.

Renaissance Steel's resolution application was rejected by the (CoC) of

owes lenders more than Rs 130000 million, of which about Rs 50000 million is to alone.

On May 1, the NCLAT had directed that status quo be maintained in the case pertaining to the sale of debt ridden to

Renaissance has submitted before the NCLAT that Vedanta is not eligible to bid for Electrosteel under section 29 A of the and Code.

 

First Published: Fri, May 18 2018. 19:05 IST
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