The bankruptcy court in Mumbai has rejected an application filed by Dezire Group against Indamer Mjets Airport Service Pvt Ltd to admit the company under the Corporate Insolvency Resolution Process (CIRP). The application was dismissed as the court found that Indamer Mjets Airport Service demonstrated the existence of a dispute related to the delay in executing the contract and the quality of work done by the operational creditor.
IIHL had emerged as the highest bidder with an offer of Rs 9,650 crore to take over debt-ridden Reliance Capital in the second round of auction concluded in April. The Reserve Bank of India (RBI) on November 29, 2021, superseded the board of Reliance Capital in view of payment defaults and serious governance issues.
"We are of the considered view that the operational creditor has been able to establish the existence of an operational debt and its default having been committed by the corporate debtor," said a division bench of judicial member Kuldip Kumar Kareer and technical member Anuradha Sanjay Bhatia. "The application is also within time. Therefore, the application deserves to be admitted."
Business News: The lenders of Go First are in discussions to extend the period for arriving at a Corporate Insolvency Resolution Plan (CIRP) by three to six months.