ArcelorMittal possibly faces a dues bill of over Rs 7,000 crore, to clear the eligibility hurdle in its bid for Essar Steel.
The Ahmedabad bench of National Company Law Tribunal in its order last week observed that promoters of defaulting companies will have to clear outstanding loans to submit resolution plans.
The bench’s order was in connection with pleas by ArcelorMittal and Numetal asking the authority to reconsider their bids for Essar Steel. The bids had been termed ineligible by the resolution professional overseeing the auction.
ArcelorMittal’s bid was turned down because of its investments in Uttam Galva Steels and KSS Petron Private Limited. Both the companies had defaulted on loan repayments. Read More