Essar Steel Asia Holdings Ltd., a promoter of Essar Steel Ltd., has approached the National Company Law Appellate Tribunal opposing a bid by ArcelorMittal to purchase the beleaguered steelmaker.
Mittal has had business dealings with his brothers Pramod and Vinod Mittal even as of September 2018, something that he hid from the committee of creditors, the statement said.ArcelorMittal and its promoter Lakshmi Mittal “conspired to suppress vital facts” and mislead the committee of creditors for Essar Steel, Essar Steel Asia said in a statement.
In March, Prashant Ruia and two other directors of Essar Steel had filed a petition at the Ahmedabad bench of the National Company Law Tribunal, where they had opposed the way in which ArcelorMittal’s bid was selected by the committee of creditors. However, that petition was rejected by the NCLT, which upheld its decision to allow ArcelorMittal to take over Essar Steel.
Essar Steel owes over Rs 49,000 crore to its financial creditors and operational creditors have claims worth over Rs 4,800 crore admitted under IBC.
Read EquityPandit’s Nifty Metal Outlook for the Week