NCLAT declines US firm's plea against Piramal group's bid for DHFL

The appellate insolvency tribunal NCLAT on Monday declined a plea by US-based Prudential International Insurance Holdings (PIIHL) challenging an NCLT order approving the Piramal group’s bid  for the debt-ridden Dewan Housing Finance Corporation (DHFL).

The NCLAT termed the plea “premature”, given that it approached the appellate tribunal without getting a decision on its petition filed before the Mumbai Bench of the NCLT, which is scheduled to hear the matter on Wednesday (June 30). 

The NCLAT added that PIIHL, which was a 49 per cent shareholder in the joint venture firm Pramerica Life Insurance, has liberty to raise issues before it after a decision is taken by NCLT. 

PIIHL has claimed it has certain pre-existing and continuing contractual arrangements with DHFL, in which the debt-ridden firm was shareholder till March 31, 2017 and DHFL continues to be bound by the obligations under the Shareholders’ Agreement of July 2013.