Adani, Suraksha, Sunteck files EoI to buy debt-laden HDIL

Our Bureau Mumbai | Updated on August 04, 2020

A file photo of HDIL office in Mumbai   -  THE HINDU

Adani Properties Private Limited, Suraksha Asset Reconstruction Limited and Sunteck Realty Limited have filed expression of interest to buy debt-laden Housing Development and Infrastructure Limited (HDIL) under the Insolvency and Bankruptcy Code (IBC).

International Asset Reconstruction Company Private Limited has not submitted the undertaking under Section 29A of IBC in the required format on stamp paper duly signed, stamped and notarised. They will become eligible once it submits the required undertakings before August 8, Abhay N Manudhane, the Resolution Professional appointed by the Mumbai Bench of the National Company Law Tribunal to oversee the corporate insolvency resolution process of HDIL, said in a stock exchange filing.

In August last year, HDIL was admitted to a bankruptcy court in Mumbai on a petition brought by Bank of India seeking to recover unpaid dues of ₹522.30 crore.

On July 13 this year, the National Company Law Appellate Tribunal (NCLAT) rejected an appeal filed by HDIL against the NCLT order to initiate corporate insolvency resolution process (CIRP) against the company.

Rakesh Kumar Wadhawan and his son Sarang Wadhawan, the promoters of HDIL, were arrested in October last year for their alleged role in the ₹4,355-crore financial irregularities at Mumbai-based PMC Bank, which prompted the Reserve Bank of India to impose regulatory restrictions on the lender for six months.

It imposed the restrictions due to concerns over large sums of loans being given to HDIL.

The scam surfaced when PMC informed RBI that the bank’s exposure to HDIL was over ₹6,500 crore — four times the regulatory cap or 73 per cent of its entire assets of ₹8,880 crore.

Published on August 04, 2020

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