The Committee of Creditors of the Hyderabad-based hospitality chain Viceroy Hotels Ltd is set to consider various resolutions plans the company has received.
A meeting of the creditors has been convened on December 31, to evaluate various resolutions proposals the company has received in the ongoing case now under consideration at the National Company Law Tribunal, Hyderabad.
Following petitions by creditors seeking extension of period beyond the mandatory resolution period due to some developments, the NCLT has extended the timeline.
At the 13th meeting of the Committee of Creditors held recently, various presentations of resolution plans by successful resolution applicants were reviewed and it was later decided to hold another meeting later this month to consider the plans that were submitted.
Asset Reconstruction Company (India) Ltd (ARCIL) had moved the Corporate Insolvency Resolution Process (CIRP) under Section 7 of the Insolvency and Bankruptcy Code 2016.
After the due process, while some resolution plans were filed, the process time period as per schedule was over and the plans could not be taken up.
Following a petition seeking extension of time as the resolution process could not be completed, NCLT member Ratakonda Murali allowed the petitioner extension of time period by 45 days and allowed additional time to consider the plans.
There were at least five petitions put forth by potential suitors with respective resolution plans including one by Mahal Hotels, which had submitted its revised plan. Independent consultant BDO went through their certification of eligibility.
In the past, the company management had made efforts to pare its debt through slump sale of a couple of its assets in Bengaluru and Chennai. However, the company was hauled before the NCLT.