Lenders review resolution process of debt-ridden Reliance Capital

The Committee of Creditors (CoC) on Wednesday reviewed the resolution process of the debt-ridden Reliance Capital, for which the bidding process closed on August 29.

IndusInd Bank, US-based asset management firm Oaktree Capital, and Torrent Group are among six bidders to acquire Reliance Capital.

The 18th meeting of the CoC of the company was duly convened and conducted on Thursday in Mumbai, Reliance Capital said in a regulatory filing.

During the meeting, it said, "the Administrator of the company appraised the Committee of Creditors, inter alia, about the update on the status of claims, the status of corporate insolvency resolution process (CIRP) process, going concern operations of the company and the way forward in terms of the activities/milestones as stipulated under the Insolvency and Bankruptcy Code".

The Reserve Bank of India (RBI) on November 29 last year superseded the board of RCL in view of payment defaults and serious governance issues.

The RBI appointed Nageswara Rao Y as the administrator in relation to the Corporate Insolvency Resolution Process (CIRP) of the company.

This is the third large non-banking financial company (NBFC) against which the central bank has initiated bankruptcy proceedings under IBC. The other two were Srei Group NBFC and Dewan Housing Finance Corporation (DHFL).

The RBI subsequently filed an application for initiation of CIRP against the company at the Mumbai bench of the National Company Law Tribunal (NCLT).

In February this year, the RBI-appointed administrator invited expressions of interest for the sale of Reliance Capital.