NCLAT sets aside NCLT's order on IndusInd's insolvency plea against Zee Ent
1 min read 03 Jul 2023, 11:59 AM ISTNCLAT sets aside NCLT's order admitting IndusInd's insolvency plea against Zee Ent, media reports say.
PremiumThe National Company Law Appellate Tribunal (NCLAT) has set aside the NCLT order admitting IndusInd's insolvency plea against Zee Ent. It has directed both parties to pay the cost of the brief period incurred by the interim resolution professional.
On June 30, IndusInd Bank and Zee Entertainment announced that all due payments made to the respective bank were done by ZeeL, according to a report published by MoneyControl.
Zee Ent and IndusInd Bank informed the tribunal in March 2023 that they agreed on a settlement stating payment obligations have been undertaken which need to be paid by June 30 or within a week of Sony merger, the report said.
The NCLT had previously directed the NSE and BSE to reconsider their approval for the Zee-Sony merger, with the order later being set aside by the National Company Law Appellate Tribunal.
Towards the end of May, a two-member NCLAT bench observed that the order had been against the “principle of natural justice".
It noted that Zee Entertainment had not been granted any opportunity to respond over the issue of Shirpur Gold Refinery - a Subhash Chandra-led Essel Group firm.
The NCLT's May 11 order had come after the BSE and NSE counsels raised fresh points related to the scheme of merger and highlighted the Sebi order on Shirpur Gold Refinery. The Zee promoters' names had appeared there in connection with the diversion of funds.
