NCLAT Gives Dighi Port Promoter Three Weeks To Settle Lenders’ Claims
Dighi Port is being developed by Balaji Infra Projects in Raigad district of Maharashtra. (Photo: Dighi Port website)

NCLAT Gives Dighi Port Promoter Three Weeks To Settle Lenders’ Claims

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The National Company Law Appellate Tribunal has granted three weeks' time to the promoters of debt-ridden Dighi Port Ltd. to negotiate with the company's financial creditors and settle their claims.

Adani Ports and Special Economic Zone Ltd. and Jawaharlal Nehru Port Trust have submitted with the NCLAT their bids for acquiring Dighi Port.

A three-member NCLAT bench, headed by Chairman Justice SJ Mukhopadhaya, has allowed Dighi Port Director Vishal Vijay Kalantri and other promoters of the company to negotiate with the committee of creditors and operational creditors to bring the company out of insolvency proceedings.

"We allow the Appellant Director Vishal Vijay Kalantri and other promoters of Dighi Port Ltd. (Corporate Debtor) three weeks time to state as to whether the financial creditors have agreed to settle the claim," NCLAT said in its order passed on July 24.

"If such a proposal is made, financial creditors and operational creditors, if any, may consider the same,” the bench added, posting the matter for further hearing on Aug.21.

During the NCLAT proceedings, counsel representing Dighi Port promoters submitted that they "may reach one-time settlement with the financial creditors".

Dighi Port is being developed by Balaji Infra Projects in Raigad district of Maharashtra.

Lenders have rejected Adani Ports’ resolution plan for Dighi Port and approved JNPT’s bid—a move that was contested by the billionaire Gautam Adani-led firm at NCLAT.

On July 10, NCLAT said that until its further orders NCLT will not pass any order on liquidation of Dighi Port.

On March 25, 2018, opeerational creditor DBM Geotechnics and Constructions Pvt. Ltd. moved an insolvency plea against Dighi Port at NCLT Mumbai over non-payment of loans meant for construction of a multi-purpose berth. The committee of creditors later informed the NCLAT that the company owes more than Rs 3,000 crore to its financial creditors.

Dighi Port promoters, in turn, informed NCLAT that its resolution professional has not admitted any claims of DBM Geotechnics & Construction so far. This was accepted by the counsel appearing on behalf of DBM Geotechnics & Construction before NCLAT.

The resolution professional then submitted before the NCLAT that in view of pendency of the appeal, order of liquidation has not been passed.

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