IDBI Bank has moved the National Company Law Tribunal (NCLT) against Zee Entertainment Enterprises Ltd (ZEEL) seeking an insolvency proceeding against the media firm to recover dues of ₹149.60 crore.
IDBI Bank has claimed an amount of ₹149.60 crores, which has been disputed by ZEEL, said a regulatory update from the media major.
IDBI Bank has filed an application under section 7 of the Insolvency and Bankruptcy Code, 2016, claiming to be a financial creditor, before NCLT for initiation of Corporate Insolvency Resolution Process against the company, it added.
“The bank’s purported claim arises under a Debt Service Reserve Agreement entered into by the bank and the company for the financial facility availed by Siti Networks Ltd,” it said.
ZEEL is “vehemently disputing the bank’s claim in other proceedings filed by the bank against the company for recovery of its alleged dues,” it added further.