RCap resolution: NCLT defers matter on IIHL plea for deadline to June 25

National Company Law Tribunal (NCLT) on Thursday deferred the matter regarding the plea of Hinduja Group firm IIHL for extension of deadline for completing Reliance Capital's resolution to June 25.

IndusInd International Holdings Ltd (IIHL) is the successful bidder for the resolution of debt-ridden Reliance Capital, the financial services arm of Anil Ambani Group.

The matter was heard on Thursday and the NCLT Bench further directed the matter to be listed on June 25, 2024, Reliance Capital said in a regulatory filing.

The successful resolution applicant under Section 60(5) of the Insolvency and Bankruptcy Code, 2016, read with Rule 11 of the National Company Law Tribunal Rules, 2016 sought an extension of 90 days from May 27, 2024 for the implementation of the approved resolution plan, it said.
 

Following the application moved IIHL, the NCLT heard the matter on June 13 and June 20.

In November 2021, the Reserve Bank of India superseded the board of Reliance Capital on governance issues and payment defaults by the Anil Dhirubhai Ambani Group company.

The central bank had appointed Nageswara Rao Y as the administrator, who invited bids in February 2022 to take over the company.

Reliance Capital had a debt of over Rs 40,000 crore, and four applicants had initially bid with resolution plans.

However, the committee of creditors rejected all four plans for lower bid values, and a challenge mechanism was initiated in which IIHL and Torrent Investments participated.