NCLAT Rejects Interups Plea in ACCIL Insolvency Matter
PTI reported that the National Company Law Appellate Tribunal has rejected a plea by US-based Interups Inc that challenged the National Company Law Tribunal’s approval for JSW Steel’s INR 1,550 crore-bid for Asian Colour Coated Ispat Ltd. A three-member NCLAT bench, headed by Acting Chairperson Justice BL Bhat, said that “Interups wanted to enter the fray for ACCIL nearly one year after the Committee of Creditor gave its approval for the resolution plan. Interups neither qualify as a resolution applicant nor as a prospective resolution applicant or as a successful or unsuccessful resolution applicant for ACCIL. Hence, it cannot be termed as an aggrieved party to file an appeal against the NCLT order.”
The Resolution Professional issued Form G, inviting EOI on October 1, 2018, and it was revised on December 14, 2018. The last date for receipt of the resolution plan was March 8, 2019. EoI was received from 12 resolution applicants and 11 of them were found eligible, as per the NCLAT. Interups had first time expressed its interest to submit a resolution plan on June 12, 2020, through an e-mail marked to all CoC members and no financial proposal was provided.
The National Company Law Tribunal had approved the bid of JSW Steel Coated Products for ACCIL in October last 2020.
ACCIL had a total debt of around INR 6,500 crore. It specialises in downstream, galvanised and colour-coated products which are exported to Europe, Latin America and Africa. The company went into insolvency in July 2018 after the NCLT admitted an application by SBI.