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Press Information Bureau
Government of India
Ministry of Corporate Affairs
24-July-2018 18:02 IST
Financial Creditors have realized claims of approximately Rs. 47,426.75 crore in 26 cases

The Financial Creditors have realized claims of approximately Rs. 47,426.75 crore in 26 cases where resolution plans are submitted under the IBC framework since its enactment.

The Union Minister of State further stated that the Insolvency & Bankruptcy Code lays down a time bound and transparent framework for resolving cases of insolvency by balancing the interests of all stakeholders and maximising the value of stressed assets, post unloading it by way of insolvency resolution or liquidation as the case may be.  Apart from the direct impact in terms of time bound resolution, the IBC has also impacted the borrowing and lending culture in the country.  As a result, borrowers are no more willing to over-leverage debt to unsustainable levels.  Similarly, lenders have also become more careful due to strict NPA provisioning norms laid down by the Reserve Bank of India.

This was stated by Shri P.P. Chaudhary, Union Minister of State for Corporate Affairs in written reply to a question in Rajya Sabha today.

The Union Minister of State also provided status of process of 12 companies identified in the first phase by RBI, which is as follows:

Corporate Insolvency Resolution Process (CIRP) of 12 companies as on 16th July, 2018

 All amounts in Rs. crore

Sr No

Name of Corporate Debtor

Admission Date

180/270th Day

Total Claims Admitted

Assets on Balance Sheet(Last Available)

Status 

 

Transactions -In process

1

ABG Shipyard Ltd.

01-Aug-17

28-Apr-18*

18532.00

11092.00

In process

2

Alok Industries Ltd.

18-Jul-17

14-Apr-18

30241.64

32362.00

In process

3

Amtek Auto Ltd.

24-Jul-17

19-Apr-18

12718.97

15572.00

In process

4

Bhushan Power and Steel Ltd.

26-Jul-17

23-Jun-18*

48122.94

42001.00

In process

5

Era Infra Engineering Ltd.

08-May-18

04-Nov-18

11785.16

8132.40

In process

6

Essar Steel India Ltd.

02-Aug-17

28-May-18*

51848.00

62699.00

In process

7

Jaypee Infratech Ltd.

09-Aug-17

12-May-18

10373.20

18201.00

In process

8

Jyoti Structures Ltd.

04-Jul-17

31-Mar-18

8194.77

5465.00

In process

9

Lanco Infratech Ltd.

07-Aug-17

04-May-18

53157.90

18067.00

In process

10

Monnet Ispat and Energy Ltd.

18-Jul-17

14-Apr-18

11079.60

9077.00

In process

11

Bhushan Steel Ltd.

26-Jul-17

22-Apr-18

57505.05

60463.00

Approved by NCLT on 15th May, 2018.  Successful Resolution Applicant is Tata Steel Ltd (through its wholly owned subsidiary, Bamnipal Steel Ltd)

12

Electrosteel Steels Ltd

21-Jul-17

17-Apr-18

13301.84

13016.00

Approved by NCLT on 17th April, 2018.  Successful Resolution Applicant is Vedanta Star Ltd.

 

Total

 

 

326861.10

296147.40

 

 

* Extended by NCLT                                                                                                                  

 

The Union Minister of State further provided information with respect to the money recovered in completed transactions, which is as follows: 

COMPLETED TRANSACTIONS OF TWO COMPANIES OUT OF 12 COMPANIES

 

  1. Electrosteel Steels Ltd.: Its insolvency resolution concluded with the approval of resolution plan of Vedanta Ltd. by the Adjudicating Authority on 17th April, 2018. The details of realization under approved resolution plan are as under:

 

Particulars

Outcome

Liquidation Value (Rs. crore)

2899.98

Realization by Claimants (Rs. crore)

5320.00

 

The details of realizations by claimants are as under:

Claimants

Amount of Claims Admitted (Rs. crore)

Amount Realized (Rs. crore)

Realization as % of Claim

Financial Creditors

13175.14

5320

41.83

Other Claimants

783.21

0

00.00

All Claimants

13958.36

5320

38.11

 

  1. Bhushan Steel Ltd.: Its insolvency resolution concluded with the approval of resolution plan of Bamnipal Steel Ltd., wholly owned subsidiary of Tata Steel, by the Adjudicating Authority on 15th May, 2018. The details of realization under approved resolution plan are as under:

Particulars

Outcome

Liquidation Value (Rs. crore)

14,541.00

Realisation by Claimants (Rs. crore)

36,771.00

 

The details of realizations by claimants are as under:

Claimants

Amount of Claims Admitted (Rs. crore)

Amount Realised (Rs. crore)

Realisation as % of Claim

Financial Creditors

56,022

35,571

63.50

Other Claimants

1,483

1,200

80.92

All Claimants

57,505

36,771

63.94

 

 

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