20 August 2019: Housing Development and Infrastructure Limited (HDIL) has informed the Bombay Stock Exchange that it has been admitted under the provisions of the Insolvency Bankruptcy Code (IBC) in National Company Law Tribunal (NCLT).
It has also stated that the company will approach the National Company Law Appellate Tribunal (NCLAT) against the order passed by NCLT.
It’s noteworthy that Bank of India filed petition under Section 7 of IBC to initiate insolvency proceedings against HDIL.
The NCLT on June 4 had warned given HDIL four weeks time to pay Rs 98 crore to Bank of India and warned the company that faliure to do so would initiate insolvency proceedings.
Mumbai-based HDIL owes Bank of India (BoI) approximately Rs 520 crore and had agreed to pay its lenders in tranches.
HDIL, as per its 2017-18 annual report, has a total debt of around Rs 2,400 crore.
HDIL’s stock price fell four percent today and it’s currently valued at Rs 10.87 per share on BSE.