Telecom Department Moves Tribunal Against Resolution Of Videocon, Claims Dues

The DoT requested the appellate tribunal to set aside the order passed by the Mumbai bench of NCLT on June 8, allowing the Rs 2,962-crore takeover bid by Anil Agarwal's Twin Star Technologies.

The Department of Telecommunication (DoT) has moved the insolvency appellate tribunal NCLAT against the NCLT order approving the consolidated resolution plan for 13 companies of Videocon Group, including Videocon Telecommunications.

The DoT, in its petition, has requested the appellate tribunal to set aside the order passed by the Mumbai bench of the National Company Law Tribunal (NCLT) on June 8, 2021 allowing the Rs 2,962-crore takeover bid by Anil Agarwal's Twin Star Technologies.

DoT has submitted before NCLAT that defaulting telecom companies cannot be permitted to wriggle out of their liability by the triggering of the Corporate Insolvency Resolution Process.

A three-member bench of NCLAT said the appellate tribunal has already stayed the NCLT order on July 19, 2021 by granting a "status quo ante" to be maintained and Resolution Professional will continue to manage the affairs of Videocon Industries as per provisions of the Insolvency & Bankruptcy Code.