NCLAT Reserves Order On Admission Of Contempt Plea Against Anil Ambani, Others

The National Company Law Appellate Tribunal on Wednesday reserved its order over admission of contempt petition filed against Reliance Group Chairman Anil Ambani and company officials over alleged non-payment of dues by Reliance Infratel Ltd.

A two-member bench, headed by NCLAT Chairman Justice SJ Mukhopadhaya, said it will decide whether the contempt petition filed by HSBC Daisy Investments (Mauritius) and others should be admitted, sInce Reliance Communications Ltd. is now undergoing insolvency proceedings. Reliance Infratel is part of RCom.

The counsel appearing for RCom's resolution professional said that as the telecom firm was going through insolvency proceedings and was under the moratorium period under the Insolvency and Bankruptcy Code, it cannot pay money.

In May, the Mumbai bench of the National Company Law Tribunal started insolvency proceedings against RCom, which is saddled with over Rs 50,000 crore debt.

HSBC Daisy had moved the NCLAT alleging Reliance Infratel had defaulted on payment of Rs 230 crore, and that the company has not fulfilled an undertaking given by it.

According to the consent terms of the agreement among Reliance Infratel, HSBC Daisy and others, recorded by the NCLAT in its order dated June 26, 2018, the Anil Ambani-owned firm was to pay the amount in the following six months.

After the six-month period ended, HSBC Daisy and nine other minority shareholders holding 4.26 percent stake in Reliance Infratel filed the contempt plea.