StanChart may gain after NCLAT asks Essar CoC not to discriminate

StanChart said it was being offered 1.7 per cent of its total dues from Essar's resolution plan, while other financial creditors, forming part of the CoC, were getting 85 per cent of their dues

Essar Steel

Hearing Standard Chartered Bank’s plea against the insolvency resolution plan of Essar Steel, the National Company Law Appellate Tribunal (NCLAT) has said “there cannot be any discrimination” towards the stressed asset’s financial creditors.

The bank had alleged that the committee of creditors (CoC) had discriminated against it, as the bank was being offered only 1.7 per cent of its total dues from Essar Steel’s resolution plan, while other financial creditors, forming part of the CoC, were getting over 85 per cent of their dues.

The two-member Bench asked the