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Punjab National Bank has moved the National Company Law Appellate Tribunal (NCLAT) seeking a stay on the debt resolution plan submitted for Jet Airways by the Kalrock-Jalan consortium.
The stay has been sought on two grounds — procedural impropriety of the Resolution Professional and gross irregularities in the plan.
‘Flawed process’
Speaking to BusinessLine , Aman Lekhi, Additional Solicitor General of India, who appeared for PNB, said, “...this entire process is flawed. We have hence petitioned the tribunal to intervene.... we have challenged it for falling foul of legitimate classification apart from being unreasonable because it clubs financial creditors with related parties and does away with the share which we say is incorrect.”
Almost a year ago, the Committee of Creditors approved the resolution plan of the Murari Lal Jalan and Kalrock Capital consortium with 99.2 per cent of lenders in favour.
PNB had submitted a claim of ₹963.47 crore with a few revisions over time. PNB alleged in its latest appeal that its claims were reduced by ₹202.09 crore by the Resolution Professional. A copy of the appeal was reviewed by BusinessLine.
‘Forced consent’
PNB asked NCLAT to direct the National Company Law Tribunal, Mumbai Bench, to “maintain status quo in regard to the implementation of the resolution plan.”
PNB said the consent that was given “amounts to forced consent as in case of dissenting financial creditors the resolution plan entails only minimum payment of liquidation value. This differential treatment of assenting financial creditors and dissenting financial creditors is discriminatory.”
PNB also alleged that Ashish Chhawcharia, the Resolution Professional, ignored that the plan discriminates against financial creditors who are equally situated.
Chhawcharia declined to comment as the matter is sub judice.
However, banking sources say that “the NCLAT may ask the Resolution Professional to weigh PNB’s plea but this will not come in the way of the plan being implemented.”
The matter will now be heard on September 21.
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