Mauritius bank rejects Sujana's repayment offer

The company is facing a winding-up petition filed by Mauritius Commercial Bank following a loan default of around Rs 100 crore

Mauritius Commercial Bank Limited today informed the High Court in Hyderabad that it had rejected the repayment proposal given by Sujana Universal Industries Limited of Sujana Group promoted by Union Minister Y S Chowdary.

The company, which is facing a winding-up petition filed by the bank following a loan default of around Rs 100 crore, had offered to repay the money in installments starting from January, 2015 to March, 2017 after both the parties had agreed for a settlement last week.

However, the bank counsel informed Justice A Rajasekhara Reddy, who is heading the company court, that the proposal was not agreeable to their client. The judge posted the hearing on the winding-up petition to December, 4.
 

Sujana Universal recently informed the stock exchanges that Chowdary, the promoter and non-executive director of the company, has resigned from the board of directors with effect from October, 15, 2014. He was inducted into the Union Cabinet on November 9.