The operational creditors (OCs) of debt-ridden Binani Cement today lauded the NCLT order which directed the lenders to consider the revised bid of UltraTech Cement and reiterated its demand for forensic audit of the insolvency resolution process.
Providing a fresh lease of life for more than 3,000 OCs of Binani Cement, the Kolkata bench of National Company Law Tribunal (NCLT) on Wednesday directed the committee of creditors (CoC) to consider the revised UltraTech bid, while allowing Dalmia Bharat to match the offer made by UltraTech.
Ultra Tech Cement’s offer is Rs 1,021.70 crore more than that of the Dalmia Bharat Group’s, the NCLT said.
Dalmia Bharat’s resolution plan proposed to settle the accumulated dues of OCs of Rs 503.37 crore for Rs 151 crore. However, they claimed the company owes them over Rs 700 crore.
“The (NCLT) order has brought new dimension to the case wherein serious violation of IBC on part of RP got validated in the judgment. In total 12 applications highlighting serious violation of process mandated under IBC to RP got concluded in the hearing. We once again demand for forensic audit,” Binani Operations Creditors Forum (BOCF) spokesperson Rajesh Tibrewal told here.
The revised bid from UltraTech has to be submitted by Friday to the resolution professional (RP), which will be placed before the CoC.
Tibrewal said the cost of litigation filed by all stakeholders towards appealing in NCLT, NCLAT and Supreme Court has been around Rs 100 crore till date.
“Had the RP acted prudently as per provisions of IBC law taking into consideration interest of all stakeholders, it would have saved both cost (including interest cost) and time for all creditors,” he added.
Another BOCF spokesperson Siddharth Tibrewal said OCs claim that RP never verified and admitted their claims was also found to be true.”OCs also highlighted how RP refused to permit OCs from attending any COC meeting,” he added.