Congress slams NCLT over Chandra ruling
New Delhi, Aug. 28 -- A National Company Law Tribunal ruling that sharply reduced Essel Group chairman Subhash Chandra's liability in a personal insolvency case has sparked apolitical row, with the Congress saying that a settlement ofjust Rs.6.5 crore against lenders' claims of more than Rs.22,000 crore raises questionsabout the fairness of the process.
In a post on X, Leader of the Opposition Rahul Gandhi called NCLT as "Neta-Company Loot Tribunal" and partygeneral secretary Randeep Singh Surjewala said such reductions in debt value, called haircuts in financial parlance, amount to a loan waiver for industrialists. Neither leader, nor Congress' communications chief Jairam Ramesh, who also raised the issue, named Chandra but referenced the NCLT decision.
A statement from Chandra's office said that he has not borrowed from any lender in the matter and was only a personal guarantor for loans to companies"remotely connected" to the Essel Group.
The total claims against him in the personal insolvencyproceedings is only Rs.3,992 crore and not Rs.22,000 crore, the statement said. It alsosaid a claim of Rs.620 crore was settled and borrower entities have offered to pay Rs.1,063 crore....
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