The Mumbai bench of the National Company Law Tribunal (NCLT) on Wednesday asked the administrator of the beleaguered mortgage lender Dewan Housing Finance Limited (DHFL) to place resolution plan of its erstwhile promoter, Kapil Wadhawan, before the Committee of Creditors (CoC).
The tribunal has asked the CoC to convene in 10 days and consider the proposal put forward by Wadhawan. The matter will be next heard on May 31.
The CoC, Reserve Bank of India (RBI), and Competition Commission of India (CCI) have already given their approval to the plan put forward by Piramal Enterprises. It has, however, not received the nod from NCLT yet. But, the hearing of the matter has already taken place and the NCLT has reserved its order in the matter.
The subsidiary of Piramal Enterprises, Piramal Capital and Housing Finance (PCHFL), had given a plan of Rs 34,250-crore, which was approved by the CoC with an overwhelming majority over the bids of two other competitors in the race -- Oaktree and the Adani Group.
Kapil Wadhawan had moved the NCLT in November last year seeking the tribunal’s direction to the administrator and CoC to consider the package the then management had prepared for the beleaguered company. The offer, he claimed, was in accordance with the June 7, 2020 circular of the RBI.
In a letter to the administrator in December, Wadhawan had reiterated his offer to pay the entire principal outstanding of Rs 91,158 crore to creditors with an upfront payment of Rs 9,000 crore and remaining payment in 7-8 years in the form of debt-to-equity conversion.
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