NCLAT allows all the three bidders to meet and finalise Bhushan Power bid
This order was later challenged by Tata Steel, another resolution applicant of BPSL, before NCLAT -- the appellate tribunal.
Vacating its earlier stay, the appellate tribunal has directed the committee of creditors (CoC) of the company to consider the resolution plans submitted by three firms -- Tata Steel, Liberty House and JSW Steel.
NCLAT has also directed the CoC to call all the three bidders, along with operational creditors and suspended board of directors, in the meeting.
He further said, "Resolution professional (RP), after consulting CoC, will invite operational creditors and all three resolution applicants will remain present on the date of consideration of the resolution plan."
The appellate tribunal further said that CoC will place selected resolution plan before adjudicating authority, which may approve it, but they will not give effect without prior approval of this tribunal (NCLAT).
During the last hearing on July 17, NCLAT had pulled up the RP of the company, Mahendra Kumar Khandelwal, for not following its previous orders to allow the representatives of operational creditors to attend the meeting.
It had said that it would consider whether contempt of court proceedings should be initiated against the RP in the next hearing, which was today.
In the last hearing, operational creditors of the company had alleged that their representatives were not allowed to attend the CoC meeting.
Moreover, Liberty House, a resolution applicant has alleged that information was not supplied about the meeting and on July 11 RP gave a 19-page checklist seeking the company's compliance on 29 A of Insovency and Bankruptcy Code (IBC).
The NCLT had on April 23 directed BPSL's lenders, led by PNB, to consider the bid submitted by Liberty House.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)
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