NCLT allows HDIL 4 weeks to pay Rs 98 cr to Bank of India

Senior counsel Navroz Seervai, representing HDIL, said the realty company had sought refinance to repay the debt from a cooperative bank, which did not disburse funds due to general elections.

The funds, he said, will now be released in three weeks.

Currently, HDIL is facing insolvency petitions from other public sector lenders including Corporation Bank, Syndicate Bank, among others.

HDIL owes Rs 7.42 crore to Corporation Bank, Rs 15 crore to Union Bank of India, Rs 57 crore to Syndicate Bank and Rs 2.75 crore to Dena Bank. They have filed separate petitions under Section 7 of the IBC to recover dues.

HDIL also owes Rs 143 crore to Union Bank of India and about Rs 60 crore to Jammu and Kashmir Bank.

After hearing the arguments, the division bench comprising Bhaskara Pantula Mohan and V Nallasenapathy granted four weeks time to HDIL to repay Rs 98 crore to BoI and around Rs 10 crore to Syndicate Bank as per schedule.

The tribunal has adjourned the case till July 4. It will hear cases filed by Corporation Bank, Union Bank of India and Dena Bank on June 26.

HDIL, as per its 2017-18 annual report, has a debt of around Rs 2,400 crore.

The company claims that it has repaid Rs 800 crore to banks till now. However, according to a document released by Jammu and Kashmir Bank, only Rs 324 crore has been repaid.