NCLAT bench slammed the committee of creditors (CoC) of Amtek Auto for issuance of fresh information memorandum inviting new resolution plans.
Lenders ask NCLAT for fresh round of bidding for debt-ridden Amtek Auto as UK-based Liberty House backs out
CoC led by Corporation Bank informed the NCLAT that the second highest bidder Deccan Value Investors LP is also considering to submit a revised offer
Insolvency proceedings: Bidders to face jail term, penalty if they pull out from plans to take over stressed firms
Apart from invoking section 74 of the Insolvency and Bankruptcy Code, which provides for a jail term, the government may impose a maximum Rs 1 crore penalty
Previously, SEBI was not in favor of allowing mutual funds to side-pocket or segregate their bad units.
IL&FS fiasco singeing mutual fund investors: What happened to fund houses’ much-vaunted research capabilities?
That IL&FS would default to its bondholders could have been easily ferreted out had the fund houses upped their ante on the back of their famed research capabilities.
BSE will move Videocon Industries, Gemini Communication, nine others to restricted trading segment from 3 September
The move is part of the surveillance review to ensure market safety and safeguard the interest of investors
BSE said, trading in securities of the nine companies will be suspended from 10 September 2018 on account of non-compliance with Regulation 33 of LODR Regulations for two consecutive quarters
NCLT approves Liberty House bid for Amtek Auto; total potential recovery by creditors calculated at Rs 4,404 crore
Amtek has a total debt of Rs 12,603 crores and the liquidation value of its assets was determined at Rs 4,119 crores
"Promoters of most large steel companies were quite intent to regain control and did appear to offer the most competitive bid during the resolution process but are barred from doing so now," domestic brokerage Kotak Securities said
These 12 large accounts had become NPAs by end-March 2016 and Crisil estimates show the banks had already provisioned 40 percent for these NPAs worth Rs 2 trillion or about Rs 80,000 crore.
Bankers met to discuss accounts such as Amtek Auto, Bhushan Steel and Essar Steel, among others
The first set of six troubled accounts are Bhushan Steel (Rs 44,478 cr), Essar Steel (Rs 37,284 cr), Bhusan Power and Steel (Rs 37,248 cr), Alok Industries (Rs 22,075 cr), Amtek Auto (Rs 14,074 cr) and Monnet Ispat (Rs 12,115 cr), a banker said.
NPA crackdown: Read here for financial details of these 12 big loan defaulters likely to go for bankruptcy
Monnet Ispat had a debt of over Rs 10,000 crore while its net worth turned negative to Rs 1,602 crore in FY17
The RBI has yet to officially name any of the 12 companies, which account for about 2 trillion rupees ($31 billion) of India's non-performing loans, or roughly 25 percent of all the country's bad loans.
Credit rating agencies made their advent to aid small investors and others who do not have the wherewithal to carry out their own credit risk assessment.
Amtek Auto is also weighing the option of selling a minority stake of up to 25-40 percent in its overseas business
Company plans to sell most of its non-core assets and intends to repay Rs 7,000 crore debt in next 15 months time
Including today's low, Amtek Auto stock has crashed 74 percent in two sessions and 91 percent in the month so far