NCLT reserves order on petitions against Tangedco, say sources

Arguments dwelt on whether a PSU falls within the ambit of a "corporate person" under IBC Code

The National Company Law Tribunal (NCLT), Chennai, has reserved orders in a batch of petitions filed by power producers Ind Bharath Power Gencom Ltd, Ind Bharath Thermal Limited and Aarkay Energy (Rameshwaram) Limited against Tamil Nadu Generation and Distribution Company Ltd (Tangedco), the State government-owned power distribution company, according to legal sources. The petitions were seeking initiation of corporate insolvency resolution process to recover the recievables to the tune of over Rs 600 crore in all the three entities put together, from the discom.

The petitions were heard on consecutive days during the past week and the various aspects of moving