The National Company Law Tribunal has admitted an application by State Bank of India to initiate the corporate insolvency resolution process against iron-cast auto parts maker Castex Technologies Ltd.
The Mumbai bench of the NCLT appointed Dinkar Tiruvannadpuram Venkatsubramanian as an interim resolution professional for the debt resolution process, according to a stock exchange filing.
Insolvency proceedings against Castex, formerly known as Amtek India, were initiated by SBI and its subsidiaries for defaulting on loans worth over Rs 572 crore, according to a copy of the petition filed on the exchanges.
Once a case is admitted by the NCLT, there is a 180-day timeline to decide on a resolution plan, though 90 days can be given in addition. If a plan is not decided till then, the company goes into liquidation.