Tilaknagar Industries arm clears insolvency hurdle

Chennai For a change, the makers of Mansion House brandy Tilaknagar Industries Ltd are on a high as its subsidiary Prag Distillery Pvt Ltd is now out of the National Company Law Tribunal (NCLT). The NCLT has also allowed reinstatement of the Board of Directors of Prag Distillery for management of operations.

Prag Distillery is situated in Andhra Pradesh and has a bottling capacity of approximately six lakhs cases per annum, said Tilaknagar Industries in a statement. Tilaknagar Industries said it had previously entered into an agreement with Standard Chartered Bank, the financial creditor of Prag Distillery, to settle all outstanding dues of the entity. As per the agreement, an amount of $2,250,000 was paid to Standard Chartered Bank by Tilaknagar Industries on behalf of Prag Distillery, the statement notes.