NCLAT stays corporate insolvency proceeding against ECL
"The application filed by the operational creditor... is hereby admitted for initiating the Corporate Insolvency Resolution Process in respect of Eastern Coalfields...," Justice Madan B Gosavi had said in his December 19 order.
![NCLAT stays corporate insolvency proceeding against ECL NCLAT stays corporate insolvency proceeding against ECL](https://cdn.zeebiz.com/sites/default/files/styles/zeebiz_850x478/public/2018/12/23/65725-nclt-pti.jpg?itok=V_EWfMQI&c=dd81d9cf1a19dd64b9bdb91586d6a947)
The National Company Law Appellate Tribunal on Saturday stayed its Kolkata bench's order for commencement of insolvency resolution process against Eastern Coalfields Ltd for alleged non-payment of interest.
The Kolkata bench's December 19 verdict came after it admitted an insolvency petition filed by Hinduja Group- controlled Gulf Oil Lubricants India (GOLIL).
However, the NCLAT on Saturday ruled that "until further orders, the operation of the impugned order dated 19th December, 2018 passed... By NCLT Kolkata Bench shall remain stayed..."
NCLAT has listed the matter on January 29 for further hearing.
Although ECL -- a subsidiary of state-owned mining major Coal India Ltd -- had paid the principal sum of around Rs 84.71 lakh to GOLIL, one of its operational creditors, it allegedly declined to pay the interest amount at the rate of 18 per cent per annum.
The amount in question is about Rs 40 lakh.
"The application filed by the operational creditor... is hereby admitted for initiating the Corporate Insolvency Resolution Process in respect of Eastern Coalfields...," Justice Madan B Gosavi had said in his December 19 order.
Watch Zee Business Tweet video here:
#ZBizHeadlines | शाम 5 बजे की सुर्खियों पर एक नज़र। pic.twitter.com/N0LD3kjLIi
— Zee Business (@ZeeBusiness) December 22, 2018
"Considering the facts and materials on record, I hold that the corporate debtor, Eastern Coalfields, is liable to pay interest to the operational creditor, that has not been paid in spite of demand," the judge observed.
ECL officials did not respond to repeated calls for comment.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.
RECOMMENDED STORIES
![https://www.zeebiz.com/markets/stocks/photo-gallery-large-cap-midcap-stocks-shares-to-buy-for-long-term-check-out-targets-nifty-sensex-303617](https://cdn.zeebiz.com/sites/default/files/styles/zeebiz_700x394/public/2024/07/25/306716-stockks.jpg?itok=KJTrFUIK)
Stocks to buy for long term: Analysts suggest buying these 5 largecap, 4 midcap scrips; check out targets
![https://www.zeebiz.com/personal-finance/photo-gallery-nps-retirement-planning-budget-2024-nirmala-sitharaman-announcement-how-nps-rulebook-change-can-increase-corpus-income-and-monthly-pension-by-40-compound-return-303984](https://cdn.zeebiz.com/sites/default/files/styles/zeebiz_700x394/public/2024/07/26/307102-indian-currency-pixabay-take.jpg?itok=kN21EW-9)
How your NPS retirement corpus and monthly pension can jump by 40% after this rule change; get details
![https://www.zeebiz.com/personal-finance/photo-gallery-senior-citizen-savings-scheme-scss-2024-interest-rate-calculator-post-office-how-to-get-inr-rs-50000-interest-retirement-planning-guaranteed-return-maturity-amount-small-savings-303930](https://cdn.zeebiz.com/sites/default/files/styles/zeebiz_700x394/public/2024/07/26/307042-fd-interest-file.jpg?itok=45ZbBRWM)
How much investment do you need in this senior citizen scheme to get Rs 50,000 quarterly interest? Know here
09:01 AM IST