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Insolvency case: NCLT reserves order on Patanjali's Ruchi Soya bid

This is the second time that the tribunal has sought details of Rs 600 crore, and asked them to file written submission on the same

Press Trust of India  |  Mumbai 

Ruchi Soya

The National Company Law Tribunal (NCLT) Friday reserved its order on the Rs 4,350-crore offer by Patanjali to take over the crippled edible oil firm and again sought clarity on Rs 600-crore of part-funding committed as internal accruals for the acquisition.

This is the second time that the tribunal has sought details of Rs 600 crore, and asked them to file written submission on the same.

The counsel for the Haridwar-headquartered Patanjali reiterated that Rs 600 crore of the Rs 4,350-crore fund will be met through internal accruals and offered to submit a written submission on the same.

The committee of creditors said Patanjali has already paid Rs 200 crore as guarantee.

Meanwhile, moved the tribunal to secure Rs 65 crore dues from

had earlier directed to reverse the transactions carried out on to retrieve around Rs 48 crore and Rs 65 crore with interest, that the bank had paid towards a letter of credit from latter's current account.

Following this, approached National Company Law Appellate Tribunal, who said the private lender cannot be forced to pay the amount.
 

To which, the lenders said since ICICI Bank will not pay the amount, their cut in the overall recovery amount will also be lower.

The ICICI Bank counsel said in case NCLAT reverses its order later, the lender will not only have to pay but also to take a lower haircut from the total recovery.

An bench of judges VP Singh and Ravikumar Duraisamy asked them to file a written submissions in this regard saying as ICICI Bank is also a financial creditor they will consider their application.

In December 2017, had referred Ruchi Soya for insolvency on applications moved by Standard Chartered Bank and DBS Bank and appointed Shailendra Ajmera as the RP.

Patanjali, the lone player left, had last month increased its bid value by around Rs 140 crore to Rs 4,350 crore. The offer excludes capital infusion of Rs 1,700 crore.

Ruchi Soya owes over Rs 9,345 crore to financial creditors led by the State Bank, which has an exposure of Rs 1,800 crore, followed by Central Bank at Rs 816 crore, Punjab National Bank at Rs 743 crore and StanChart at Rs 608 crore.

First Published: Fri, May 10 2019. 19:56 IST
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