Business News
Larsen moves NCLT seeking dues from Bhushan Steel on priority
Larsen & Toubro (L&T) on Friday moved the NCLT seeking a higher priority in getting its dues from debt-laden Bhushan Steel, which is presently undergoing insolvency proceedings.
Counsel appearing for L&T submitted before the bench that the company owes it Rs.900 crore in dues for the supply of capital goods to Bhushan Steel.
A National Company Law Tribunal (NCLT) bench headed by its President Justice M M Kumar, has asked the IRP (insolvency resolution professional) to file its reply over it within a week and listed the matter for hearing on March 23.
“File reply within one week… We would hear it on March 23,” the bench said.
The engineering and construction major has asked the NCLT to acknowledge it as a secured creditor for Bhushan Steel. It further submitted that being declared as operational creditor would not help.
When contacted L&T refused to comment on the issue.
Tata Steel had yesterday said it has been identified as the highest bidder for acquiring controlling stake in the Bhushan Steel undergoing insolvency proceedings.
Besides, JSW Living Pvt Ltd (a joint venture between JSW and Piramal Enterprises), and a consortium of the Bhushan Steel’s own employees had submitted bids to take over assets of the bankrupt firm.
The last day to submit bids was February 3, 2018.
Tata Steel had said in yesterday’s statement that it “has received a formal communication from the resolution professional (RP) of Bhushan Steel Ltd that it has been identified as the highest evaluated compliant resolution applicant to acquire controlling stake of BSL under Corporate Insolvency Resolution Process (CIRP) of the IBC, as decided in the meeting of CoC of BSL on March 6”.
