The appellate tribunal has directed the National Company Law Tribunal (NCLT) in Mumbai to complete the proceedings in the RTIL — formerly Reid & Taylor (India) Ltd — bankruptcy case within two weeks. This is in view of the mandatory 270-day deadline provided to complete a resolution process under the Insolvency and Bankruptcy Code, 2016.
In the RTIL case, the timeframe expired on January 1.
At its hearing on Friday, the National Company Law Appellate Tribunal (NCLAT) noted the main submission of the appellant, Finquest Financial Solutions, that no entity could approach the tribunal for the first time after the deadline.
On Thursday, a new investor, New Delhi-based Indian Gas, informed NCLT’s Mumbai Bench of its decision to bid for the beleaguered company, even as Gujarat-based CFM Asset Reconstruction (CFM ARC) withdrew from the race.
Indian Gas claim
Indian Gas had staked a claim stating it had a net worth of ₹1,500 crore. The NCLT bench of Bhaskar Pantulu Mohan and V Nallasenapathy directed the new bidder to appear before NCLAT on Friday and explain its bona fides and interest. India Gas was permitted to take part in the resolution process following the exit of CFM ARC. The tribunal also ordered that the deposit amount of ₹2 crore be refunded to CFM ARC. However, representatives of India Gas were not present at NCLAT today.