BS: Bank of Maharashtra to auction Videocon-backed unit’s assets in Tamil Nadu
12 March 2019: State-owned Bank of Maharashtra has put on sale the assets of Unity Appliances Ltd, a unit backed by Videocon Industries, at SIPCOT industrial estate in Shivaganga, Tamil Nadu, for defaulting on payments.
The outstanding dues of the unit are over Rs 153 crore, plus interest, from January 5, 2018. Unity is involved in manufacturing of air conditioners and refrigerators.
The electronic auction for land and machinery is slated for March 30, 2019 with a reserve price of Rs 42.34 crore for land and Rs 72.82 crore for plant and machinery.
The Videocon group is among 40 large defaulters identified by the Reserve Bank of India (RBI) first for insolvency proceedings. The group’s core businesses are consumer electronics and oil and gas exploration.
The lenders are auctioning the electronics business estimated to be worth $2 billion.
The subsidiaries of Videocon Industries are into manufacturing, sale and distribution of consumer goods.
Some of the units referred to NCLT include Value Industries, Trend Electronics, KAIL, Millennium Appliances India, Applicomp India, Sky Appliances, Techno Electronics, Century Appliances, PE Electronics, Next Retail, Evans Fraser & Co and Videocon International Electronics.
Categories: General News, India Bankruptcy