The Group had moved the apex court against NCLAT ruling in the 63 moons challenge
The Supreme Court will hear the appeal filed by the Piramal Group on Friday, against a recent NCLAT order that ruled a stipulation in the DHFL resolution plan as “illegal”, with regard to recovery of avoidance transactions.
The hearing is scheduled for March 11, as per the Supreme Court date sheeton its website.
It may be recalled that NCLAT had — in the matter of the 63 moons challenge — in January, set aside the term in the DHFL resolution plan that permitted Piramal Group (successful resolution applicant) to appropriate recoveries from avoidance transactions.
Piramal Group, which had acquired DHFL last September, filed the appeal in the Supreme Court on February 16 and the case was registered on February 25, sources said. The RBI appointed administrator for DHFL, committee of creditors and 63 moons have been listed as respondents to this appeal.
NCLAT had, in the 63 moons challenge order in January, sent the authorised resolution plan back to the Committee of Creditors (CoC) to reconsider this aspect of the valuation of avoidable transactions that pertain to the recoverable belongings.
The CoC, as part of the resolution plan, agreed to Piramal Group getting all future recoveries of bad loans (amounting to about Rs. 38,000 crore) falling under avoidance transactions and accepted Rs. 1 from Piramals as the value assigned for such a benefit.63 moons (one of the creditors with Rs. 200 crore invested in DHFL NCD’s) had challenged this CoC decision.
In its appeal, 63 moons asked whether the Piramal group could appropriate all recoveries from avoidance applications filed under Section 66 of the IBC just because the CoC has agreed to assign a completely arbitrary and unrealistic value of one rupee.