NCLAT junks NCLT order allowing Twin Star Tech bid for Videocon
The National Company Law Appellate Tribunal (NCLAT) on Wednesday set aside an order of the Mumbai Bench of NCLT approving Anil Aggarwal-led Twin Star Technologies’ bid for Videocon Group.
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New Delhi: The National Company Law Appellate Tribunal (NCLAT) on Wednesday set aside an order of the Mumbai Bench of NCLT approving Anil Aggarwal-led Twin Star Technologies' bid for Videocon Group. A two-member Bench of Jarat Kumar Jain and Ashok Kumar Mishra said provisions of the Insolvency and Bankruptcy Code (IBC) have not been complied with during the corporate insolvency resolution process of Videocon.
"In view of the analysis of facts and law, we have come to the conclusion that section ... of the code (IBC) has not been complied with. Hence, the approval of the resolution plan is not in accordance with section 31 of the code. Accordingly, the approval of the resolution of the plan by CoC as well as the designated authority (NCLT) is set aside." The matter is remitted back to CoC, the appellate tribunal said while disposing of all the interim applications.
The NCLAT order came on petitions filed by two dissenting creditors Bank of Maharashtra and IFCI Ltd challenging the NCLT order allowing Anil Agarwal's Twin Star Technologies to take over Videocon Industries along with 12 group firms. Earlier on June 9, the Mumbai bench of the National Company Law Tribunal (NCLT) approved Twin Star Technologies' Rs 2,962 crore bid for the debt-ridden group.
