National Company Law Tribunal has directed the Insolvency Resolution Professional to consider the revised plan submitted by Thriveni Earthmovers Private Limited in the debt-burdened Lanco Infratech Limited case in a time-bound manner.

In the case moved by IDBI, Thriveni Earthmovers had submitted a revised plan.

TIme-bound decision

Disposing a batch of petitions, Ratakonda Murali, Judicial Member, NCLT Hyderabad, while excluding 16 days for the purpose of counting period of Corporate Insolvency Resolution Plan, allowed Resolution Professional Savan Godiadwala, an additional 16 days time to complete the process.

The RP was directed to place the revised Resolution Plan filed by the company before the Committee of Creditors and take an appropriate decision.

Thriveni Earthmovers had filed a revised plan and the question was whether it should be considered. NCLT through its order made it clear that it could be considered. Taking another petition filed by Lanco Infratech Employees Welfare Association, with regard to their dues, the NCLT directed that since this is a case where the concept of of “going concern” is under play, the employees' salaries and other statutory dues as may be applicable should also be part of the Insolvency Resolution process costs. The Resolution Professional assured that the salaries would be paid as and when necessary funds are available with the Corporate Debtor Company.

Ex-employees’ concerns

Ex-employees of Lanco Infratech Limited represented by Arvind Kumar Jain, sought directions for payment of dues. Following assurance by the Counsel for Resolution Professional, the NCLT disposed of the application stating that the payments would be made and dues cleared as and when sufficient funds are received through operations.

Related Topics
comment COMMENT NOW