The National Company Law Tribunal (NCLT) has rejected a plea by film producer V. Ravichandran to dissolve the insolvency proceedings against Aascar Film Private Limited. It also dismissed another plea, seeking to stay the decision of the committee of lenders to go for liquidation.
In September 2019, the NCLT had ordered insolvency proceedings against Aascar Film in a case filed by Indian Overseas Bank for alleged non-payment of dues of about ₹116.2 crore. The loans were availed for making movie I and commitments under a one-time settlement agreement were not fulfilled, the bank said.
NCLT said the relief sought by Mr. Ravichandran was beyond the scope of the Insolvency and Bankruptcy Code. Also the directions of the National Company Law Appellate Tribunal, New Delhi, to settle the pending dues under the one-time settlement was not fulfilled, it added.
The tribunal said since the order of liquidation had already been passed, it was rejecting the other plea.
