RCap deal: Hindujas deposit ₹2,750 cr in CoC account

Hindujas-promoted IndusInd India Holdings has deposited ₹2,750 crore in the escrow account opened by the committee of creditors of Reliance Capital as directed by the National Company Law Tribunal.

• Also read: IIHL confirms payment of ₹2,700 cr for RCap buyout

In an affidavit filed with NCLT, the company said it has remitted ₹250 crore in the onshore account as designated by CoC and another sum of $298 million, equivalent to more than ₹2,500 crore, in the offshore account as designated by CoC towards equity capital contribution in the corporate debtor.

Further, the company had submitted binding commitment letters and term sheets for the debt component of ₹7,300 crore to the Monitoring Committee at their meeting held on August 8.

Seeking the administrator and CoC to initiate actions to implement the Resolution Plan as approved by NCLT, the affidavit wanted the authorities to appoint the Trustee to carve out the excluded assets from the Corporate Debtor and provide a detailed list of the creditors and their distribution break up as to whom the remittances have to be made under the Resolution Plan.

• Also read: RCap buyout: IIHL-lenders at loggerheads over compliance of NCLT order

IIHL wants CoC to finalise the Record Date for delisting NCDs and equity shares of Reliance Cap and filing the applications to the Regulatory Body for seeking delisting of the NCDs and equity shares of Reliance Cap.

This apart, the share capital of Reliance Cap has to be reduced and cancellation of the International Securities Identification Number to give effect for capital reduction and provide bank account details wherein the transfer of unpaid CIRP costs under the Resolution Plan has to be effected.

Listing out the necessary orders to be passed by NCLT, IIHL said the Applicant jointly with Administrator and CoC will face unexplainable challenges in implementing the Resolution Plan if the orders are not passed by NCLT.

However, if the directions are not taken into account by NCLT, IIHL will suffer grave and irreparable loss and damage, leading to inability to implement the resolution plan together with the Administrator and the Committee of Creditors, said the affidavit.

Last Thursday, NCLT ordered IIHL to deposit ₹2,750 crore in the escrow account opened by the CoC and abide by its Reliance Capital resolution plan before August 10.

In November 2021, RBI superseded the board of Reliance Capital on governance issues and payment defaults by the Anil Dhirubhai Ambani Group company. In February, NCLT approved IIHL’s resolution plan for Reliance Capital.