An Indian-origin soft drinks businessman from central England has been banned from holding a company directorship for nine years after admitting inflating figures to acquire a loan under a Covid-19 pandemic support scheme, the Hindustan Times reported. Inderjit Singh Dadial, whose ban comes into effect from this week, was the sole director of Cali Juices Limited, a wholesaler of specialised soft drinks incorporated in 2019 with a registered address in Wolverhampton.
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The lenders of Future group companies are likely to take the bankruptcy route as Reliance Retail attaches the stores of the beleaguered retail chain, Fortune India reported. Reliance Retail’s move to terminate the sub-lease of 950 Future group stores has shocked, lenders as it will throw a spanner in their plans to recover around ₹30,000 crore debt from Future group companies. According to sources, some of the banks want to initiate debt recovery proceedings immediately to safeguard their interests.
Indian lenders are set to initiate debt recovery proceedings against Future Retail this week to safeguard their interests after rival Reliance unexpectedly took over some of the retailer's stores, two bankers told Reuters. Future, hit by the pandemic, has been struggling to pay off its debt and is fighting a bitter legal battle with U.S retail giant Amazon. That battle has successfully blocked a $3.4 billion sale of its retail assets to India's largest retailer Reliance, citing violation of certain contracts. Future denies any wrongdoing.
With total exposure of Rs 13,483 crore in insolvent Reliance Infratel, China Development Bank, Export-Import Bank of China, and SC Lowy Asset Management have appealed to the Indian government to speed up the company’s debt resolution procedure, which began in May 2018, Inventiva reported. The lenders voiced their worry in a letter to the Indian finance minister and the Insolvency and Bankruptcy Board of India (IBBI) that despite the strict time frames set forth under the Insolvency and Bankruptcy Code, Reliance Infratel’s debt resolution is still far from complete.
The government has invited bids from firms for valuing the assets of privatization-bound RINL or Vizag Steel, msn.com reported. The Cabinet Committee of Economic Affairs (CCEA) on Jan. 27 gave “in-principle” approval for 100 percent disinvestment of government stake in Rashtriya Ispat Nigam Limited (RINL), also called Visakhapatnam Steel Plant or Vizag Steel, along with RINL's stake in its subsidiaries/joint ventures.
The leader of the Opposition in the West Bengal Assembly, Suvendu Adhikari of the BJP, on Tuesday accused the Trinamool Congress government of mismanagement of the state’s finances and claimed that it is heading toward bankruptcy, The Print reported. Terming the budget as a “bluff,” Adhikari said the TMC was keen to attack the BJP leadership over fuel prices but the state has not slashed the cess it has imposed on petrol and diesel. Several states have reduced fuel prices in that way, he said in the West Bengal Assembly.
Four financial institutions, including two Chinese banks, have written to finance minister Nirmala Sitharaman and the Insolvency and Bankruptcy Board of India (IBBI) seeking their intervention to speed up the resolution process of Reliance Infratel (RITL), the tower arm of Reliance Communications, the Financial Express reported. China Development Bank, Export Import Bank of China, Shubh Holdings Pte and SC Lowy Asset Management are the signatories to the letter.
Singapore’s Makara Capital, and asset reconstruction companies including JM Financial Asset Reconstruction Company and Asset Reconstruction Company (India) Ltd (ARCIL) are among some of the few entities that have submitted their Expressions of Interest (EoIs) to acquire Srei group companies under the consolidated corporate insolvency resolution process (CIRP), The Hindu reported. The deadline for submitting EoI ended late Saturday evening.
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The recovery ratio for creditors through the Insolvency and Bankruptcy Code (IBC) has fallen to its lowest level ever, highlighting the challenges that lenders face as bidders turn cautious due to an uncertain economic environment even as court approvals have slowed down, the Economic Times of India reported. Latest data from the Insolvency and Bankruptcy Board of India (IBBI) shows that out of the admitted claims of Rs 32,861.90 crore resolved in the quarter ended December 2021, creditors recovered just Rs 4406.76 crore or just 13.41%.
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