Reliance Communications (RCOM) owned by Anil Ambani owes close to Rs 50,000 Crore to 31 lenders led by SBI who have moved NCLT to start the bankruptcy process of the company. The lenders pleaded from NCLT to appoint a new resolution professional and form a committee of creditors as a first step towards the bankruptcy process.
The company cited an existing resolution professional (RP) which stayed on the insolvency process by the appellate tribunal and the Apex court. The RP has sought the exclusion from 30th April, 2018 to 30th May, 2019. The company has failed to meet any of the publicly made promises to pay back the lenders by monetizing real estates and assets.
Earlier, the company had to give a portion of its HQ situated in Navi Mumbai to China Development Bank after non-payment of USD 1 Billion which it borrowed from them. Recently, company has barely managed to avoid contempt proceeding of SC and a jail term after Mukesh Ambani’s help of paying 480 Crore to Ericsson on behalf of the company.
Company’s committee will have to approve a new RP with a 66% vote after the NCLT starts the insolvency process.