Essar Steel's former promoter Prashant Ruia along with two other directors of the erstwhile board of the steel maker Monday approached the National Company Law Appellate Tribunal (NCLAT) to thwart a last moment takeover of the debt-ridden firm by the global steel giant ArcelorMittal.
The matter was mentioned before a two-member bench headed by Chairman Justice S J Mukhopadhaya on Monday evening, which asked it to be taken only after the NCLT passes its full written order.
Passing an order, the tribunal had suggested that the payment of Rs 42,000 crore by ArcelorMittal be distributed among financial and operational creditors in the ration of 85:15.
The detailed written order of the Ahmedabad NCLT is still awaited.
"We are also confident of the legal validity of our said offer made under Section 12A, which provides for the withdrawal from the IBC process by making full payment to the creditors," the company had said earlier.
A two-member NCLT bench comprising H P Chaturvedi and Manorama Kumari passed order after NCLAT had on February 28 set a deadline to take a decision on ArcelorMittal's proposal by March 8 and failing to which it would call the records and may pass an order accordingly.
The resolution plan for Essar Steel has been tied up in legal wrangles for almost two years and has crossed the mandated 270 days period under IBC, as promoters challenged nearly every procedure engaging all available legal forums.
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