The National Company Law Appellate Tribunal (NCLAT) on Tuesday ordered a status quo on the insolvency process for Essar Steel for two months as it admitted petitions of Numetal and ArcelorMittal over bidding eligibility.
The tribunal directed the resolution professional (RP), committee of creditors (CoC) and the NCLT not to pass any order in the ongoing insolvency process of Essar Steel, including liquidation of the debt-ridden firm till further orders.
The NCLAT admitted the cross petitions filed by two applicants — Russia’s VTB Capital-based Numetal and ArcelorMittal — challenging their disqualification from the bidding process in Essar Steel. “Appeals admitted. List for hearing on July 23,” said a bench headed by Chairman Justice S.J. Mukhopadhaya. The insolvency resolution process deadline for Essar Steel is May 28. The tribunal further directed the RP of Essar Steel to ensure day-to-day running of the company.
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