Insolvency case: HPCL drags Hindustan Motors to NCLT

Hindustan Motors, which used to manufacture iconic car Ambassador, is the latest case for insolvency. 

Hindustan Petroleum Corporation Limited (HPCL) has taken the company to National Company Law Tribunal (NCLT).

The company has tax dues as well as liabilities towards workers, even after it sold its Ambassador brand to French maker Peugeot for Rs 80 crore. 

The company owes dues to 1,200 employees, apart from statutory dues like sales tax.

Hindustan Motors had filed a case for restructuring at the Board for Industrial and Financial Reconstruction (BIFR). The case has now been transferred to NCLT.

The company did not respond to a query.