Sebi’s circular naming defaulters draws flak; companies approach FinMin
Market regulator Securities and Exchange Board of India (Sebi) is once again caught on the wrong foot, and this time for one of its recent circulars that made public names of over 2,000 entities, which have defaulted on its dues. Some of the companies named in the list have raised objections with the finance ministry, stating that the list was erroneous, said sources aware of the development. The regulator had pulled out the circular dated 2 April within hours without any explanation. But, the uncertainty and confusion among market players, triggered by the list, lingered.
NCLT ruling on Bhushan Power & Steel boosts UltraTech plea for Binani
The recent order by NCLT Delhi in the Bhushan Power & Steel case admitting a bid after completion of the bidding date has made the case stronger for UltraTech Cement, which lost out to Dalmia Bharat Cement in the race for acquisition of the hitherto bankrupt Binani Cement. The legal counsel of UltraTech Cement, which had touched upon the decision from NCLT Delhi on Monday’s hearing told Business Standard that they are going to cite this ruling as a “precedence set by NCLT” to appeal to the Kolkata bench of NCLT to ask the Committee of Creditors (CoC) of Binani Cement to consider the revised offer from UltraTech Cement which is Rs 11 billion higher than the one the CoC has already approved.
India likely to file dispute at WTO if US rejects exemption on tariffs: Sources
India would lodge a trade dispute against the United States at the World Trade Organization if Washington does not grant it exemptions from higher tariffs on steel and aluminum, three government officials involved in trade talks told Reuters. India recently requested exemptions, arguing that its exports of these products to the United States did not create a security concern for a country with whom it has a strategic partnership that goes beyond trade.
Time ripe to consider ‘pre-packs’ under insolvency: NCLT President
India would do well to consider ushering in the concept of ‘pre-packs’ in its insolvency regime, the National Company Law Tribunal (NCLT) President MM Kumar suggested. Pre-packaged insolvency (pre-pack) is a procedure where a company arranges to sell all or some of its assets to a buyer before declaring its insolvency (appointing administrator to facilitate the sale). This would be seen as a powerful, legal way to sell the business to a trade buyer or third party. “It is worth considering. It should be there (in India),” Kumar told Business Line, when asked if he was in favour of this concept.
Insolvency: JSW writes to CoC on inviting fresh bids for Essar Steel
Sajjan Jindal-controlled JSW Steel has written to the committee of creditors (CoC) of Essar Steel on inviting fresh bids for the bankrupt firm. This has come ahead of the meeting of the CoC on Tuesday. About a month ago, JSW Steel had written to the committee, expressing its interest in taking part in bidding for Essar Steel. However, the CoC had decided not to invite fresh bids owing to time constraints.
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