NCLAT allows 22 IL&FS firms to pay debt

The tribunal also lifted the moratorium on 133 IL&FS group companies incorporated outside the jurisdiction of India.

Feb 12, 2019 03:02 IST India Infoline News Service

ILFS
The National Company Law Appellate Tribunal has issued an order allowing 22 group companies of IL&FS that were able to meet all payment obligations to service their debt obligations as per schedule, a PTI report stated.

As per the report, the tribunal also lifted the moratorium on 133 IL&FS group companies incorporated outside the jurisdiction of India. This allows lenders to take these group companies to the court if it fails to pay dues.

The NCLAT had passed an interim order on October 15, 2018, staying all proceedings against group companies of IL&FS whose total debt is in excess of Rs91,000cr, the report added.

IL&FS group companies are classified into three groups Green, Amber, and Red, based on their respective financial positions.

Meanwhile, a two-member bench headed by Justice S J Mukhopadhaya approved an appointment of former Supreme Court judge Justice D K Jain to supervise resolution process of the group companies.

In an affidavit filed before the NCLT, the government informed former Supreme Court judge Justice D K Jain has agreed to supervise the resolution process of the IL&FS group companies, the report added.

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