NCLAT directs Essar Steel to reconsider distribution of funds among creditors

NCLAT asks Essar Steel resolution professional to call CoC meet to reconsider distribution of funds among operational and financial creditors.

The National Company Law Appellate Tribunal (NCLAT) on Monday gave a conditional go-ahead to a Rs 42,000 crore offer by world's largest steelmaker ArcelorMittal to buy Essar Steel, taking the billionaire Lakshmi Mittal closer to his dream of opening a shop in his home country.

A two-member bench headed by Justice S J Mukhopadhaya said the acceptance of the resolution plan submitted by ArcelorMittal and partner Nippon Steel & Sumitomo Metal Corp will be subject to its final order in the appeal filed by the promoters of debt-laden Essar Steel against the move.