New Delhi, Sept. 29 -- The National Company Law Appellate Tribunal (NCLAT) on Tuesday issued notices to creditors on a plea filed by Essel Group Chairman Subhash Chandra and scheduled the matter for hearing on October 29 and 30.
Chandra had challenged before the appellate tribunal an order passed on September 1 by a five-member larger bench of the National Company Law Tribunal (NCLT), which had stayed the order of a third tie-breaker judge in his personal insolvency matter and restrained him from alienating his assets.
The NCLAT has directed the creditors, who opposed the maintainability of Chandra's petition, among others, to file their reply within a week.
A three-member bench of NCLAT also granted a week's time to Subhash Chandra to file a rejoinder to the creditors' reply.
"Let the notice be issued... will file the reply (over maintainability and stay) within a week," said the bench comprising Officiating Chairperson Justice (Retd.) Yogesh Khanna and Technical Members Barun Mitra and Ajai Das Mehrotra.
Meanwhile, at the request of Solicitor General Tushar Mehta, appearing for some creditors, the appellate tribunal clubbed a separate petition filed by creditors challenging the NCLT order that approved a settlement involving a payment of about Rs 6.5 crore against admitted claims of around Rs 22,006.57 crore with Chandra's appeal.
The NCLAT fixed October 29 and 30 for hearing Chandra's interim relief applications. The tribunal indicated that one day would be allotted for arguments on behalf of Chandra and the other for submissions from creditors.
During the proceedings, Solicitor General Mehta suggested waiting for the outcome of the next hearing of the five-member NCLT bench, scheduled on November 19.
However, this was opposed by advocate Dhruv Mehta, who was representing Subhash Chandra.
Published by HT Digital Content Services with permission from Millennium Post.