The National Company Law Tribunal (NCLT) has rejected the proposal of Essar Power Jharkhand to settle its dues to the lenders, led by ICICI Bank. The NCLT will take up the matter for further hearing on June 7.
ICICI Bank moved the NCLT in January 2018 to recover its dues. Essar Power Jharkhand owes creditors (operational and financial) a total of around `4,393 crore. As of June 2018, financial creditors claimed Rs 4,160 crore from the subsidiary of Essar Power, which is setting up a 1,200 MW coal-based independent power plant in Jharkhand.
The lenders had been trying to resolve the case outside the NCLT. However, they have not received any favourable response from bidders, leading to around six extensions in the final deadline.
