Moneycontrol PRO
Upcoming Event:Attend Algo Convention Live, 2 Days & 12+ Speakers at best offer Rs.999/-, exclusive for Moneycontrol Pro subscribers. Register now!
you are here: HomeNewsBusiness

NCLAT seeks details of IL&FS dues

A two-member bench headed by Chairman Justice S J Mukhopadhaya also clarified that there was no stay on the government to proceed with the resolution plan for IL&FS companies.

March 29, 2019 / 05:24 PM IST

The National Company Law Appellate Tribunal (NCLAT) on Friday asked the newly-appointed board of debt-ridden IL&FS to submit details of the group's dues.

A two-member bench headed by Chairman Justice S J Mukhopadhaya also clarified that there was no stay on the government to proceed with the resolution plan for IL&FS companies.

During the proceedings, the bench said that whatsoever step is taken by the newly-appointed board and the government for resolution of IL&FS and its over 300 group companies would have to be passed by the appellate tribunal.

The NCLAT has listed the matter for next hearing on April 8.

The bench also said it would hear the banking regulator RBI on moratorium against IL&FS group companies at the next hearing.

Close

During the proceedings, senior secured financial creditors of IL&FS asked the tribunal to direct the 'amber' classified companies to discharge their debt liability.

Under its resolution plan, the government has categorised IL&FS group companies into green, amber and red categories based on their respective financial positions.

Companies classified as 'green' would continue to meet their payment obligations, while 'amber' category firms can meet only operational payment obligations to senior secured financial creditors.

Companies falling in the 'red' category are the entities which cannot meet their payment obligations towards even senior secured financial creditors.

Earlier, the corporate affairs ministry submitted the debt resolution plan for IL&FS.

The entire resolution process is based on the principles enunciated in the Insolvency and Bankruptcy Code, as per the ministry.

At the previous hearing on March 19, IL&FS had informed NCLAT that the number of 'green' companies has increased to 50 from 21.

The number of 'amber' companies also increased to 13 from 10.



Download your money calendar for 2022-23 here and keep your dates with your moneybox, investments, taxes

PTI
first published: Mar 29, 2019 05:05 pm
Sections
ISO 27001 - BSI Assurance Mark