Finquest Financial Solutions Pvt. Ltd has initiated bankruptcy proceedings against textile company Reid & Taylor (India) for defaulting on a loan of more than ₹750 crore.
The company has moved the National Company Law Tribunal (NCLT) for resolution under the Insolvency and Bankruptcy Code (IBC).
Appoints EY
Finquest has appointed EY as the resolution professional which would oversee the bankruptcy proceedings at Reid & Taylor (India).
“We have filed a winding up petition against Reid & Taylor (India) for non-payment of dues and have moved the NCLT so that the company is placed under resolution plan,” said Bharat Patel, MD, Finquest.
He said, “Reid & Taylor’s promoter Nitin Kasliwal who is also the promoter of S. Kumars’ Nationwide, has defaulted in repayment of a loan and will thus not be eligible to participate in the resolution plan.”
Mr. Kasliwal did not respond to queries.
Private equity firm GIC had invested ₹900 crore for 26% equity in the firm. Two years ago, Reid & Taylor’s original lenders ICICI Bank and IDM Management had sold their loans to Finquest.
