Allowing an appeal of Jindal Steel and Power, the National Company Law Appellate Tribunal (NCLAT) has held Arun Kumar Jagatramka, the former promoter of Gujarat NRE Coke, not eligible to negotiate with the creditors of the company.
A two-member bench of NCLAT, headed by Chairman Justice S.J. Mukhopadhaya, said Jagatramka, who was ineligible to be a resolution applicant of the company under the Insolvency & Bankruptcy Code (IBC), cannot be allowed at this stage to negotiate with the creditors of Gujarat NRE Coke.
Jindal Steel and Power, which is an unsecured creditor of Gujarat NRE Coke, had challenged an NCLT order that allowed the promoters to settle debts with its creditors.
