After an initial examination, the ministry has referred 19 companies to the Serious Fraud Investigation Office (SFIO) for further probe related to the Rs 14,000-crore Nirav Modi scam.
Bankers, too, did not agree with NCLT’s interpretation. “NCLT may have ruled the way it did, but banks would not allow any backdoor entry by any promoters,” said a bank CEO who did not want to be identified.
Based on the current offers, banks face having to take a haircut of nearly two-thirds of their Rs 12,000 crore loans to the edible oil maker.
The ministry of corporate affairs has sent separate letters to the two adjudicating bodies after NCLAT announced a vacation break from June 1 to July 1 on its website.
SFIO is part of the task force set up in February last year by the PMO to crack down on shell companies that are used to launder black money.
“We are asking the auditors to share why they have quit in cases where we are not satisfied with the reason cited by them,” a senior official told ET.
Eight Capital has filed its objection against insolvency proceedings of Tecpro. In another matter, FIITJEE has made similar charges against Educomp.
The move is a big boost for promoters as it has made lending hassle-free. With the revised rules, the government also hopes to move up the ranks in ‘ease of doing business’.
National Company Law Appellate Tribunal chairperson Justice SJ Mukhopadhaya raised a question on the applicant getting a hearing within a day of filing the request.
The second highest bidder for the company, US-based Eight Capital, is also planning to raise its objections for violation of section 29A of the Insolvency and Bankruptcy Code (IBC) by the winning bidder, Kridhan Projects.
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