The National Company Law Appellate Tribunal (NCLAT) on Friday issued a notice to IndusInd International Holdings Ltd (IIHL) in response to a plea filed by the lenders of Reliance Capital (RCap). The lenders are seeking interest on payments for the extended period granted to IIHL for its upfront payment, as well as the forfeiture of Rs 2,750 crore in the event of default by the Hinduja Group firm.
A three-member NCLAT bench, chaired by Justice Ashok Bhushan, has directed IIHL to submit a reply within two weeks, and the matter is scheduled for its next hearing on September 30. The lenders have asked the tribunal to modify the earlier order from the National Company Law Tribunal (NCLT), specifically requesting that interest be charged on the upfront cash payment amount until August 8, 2024. They are also seeking interest on the debt component of the upfront payment, amounting to Rs 9,660 crore, from August 8, 2024, until the date of transfer and full payment.
Additionally, the lenders have requested permission for the forfeiture of Rs 2,750 crore, currently held in the Committee of Creditors’ (CoC) designated account, should an event of default occur.
