Alok creditors reject RIL, JM Financial joint bid

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The Committee of Creditors of Alok Industries has rejected the joint bid of Reliance Industries Ltd (RIL) and JM Financial Asset Reconstruction Company Ltd to buy textile manufacturer Alok Industries. The joint bid was made in terms of the Insolvency and Bankruptcy Code, 2016. Alok is debt ridden and lenders are claiming dues of over ₹230 billion.

“As intimated earlier, Reliance Industries Limited in conjunction with JM Financial Asset Reconstruction Company Limited submitted a resolution plan for Alok Industries Limited. We have been informed that our plan did not meet with the approval of the Committee of Creditors of Alok Industries as required under the Insolvency and Bankruptcy Code,” RIL said in a filing to the stock exchanges.

The Ahmedabad bench of the National Company Law Tribunal had admitted insolvency proceedings against Alok Industries in July 2017, under the Insolvency and Bankruptcy Code. (RKS)





Source: The Economic Times, India
Monday, 16 April 2018