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Tea producer McLeod Russel's promoter moves NCLAT against insolvency order

Business Standard  

Aditya Khaitan, a promoter of tea producer McLeod Russel India, has filed an appeal in the appellate tribunal against a National Company Law Tribunal (NCLT) order initiating insolvency proceedings in the company. On August 6, the New Delhi Bench of the NCLT passed an order admitting an application by Techno Electric & Engineering, a power infrastructure company, for initiating corporate insolvency resolution against McLeod Russel after defaulting on an INR 100 crore loan at 14% interest. Khaitan has moved an appeal in the National Company Law Appellate Tribunal (NCLAT) as a member of the suspended board of directors of McLeod Russel. The appeal is listed for hearing on August 25. In the NCLT, McLeod had argued that the balance sheet of Techno for the financial year 2018-2019 shows that there was a loan of INR 100 crore, which was not reflected thereafter, which means a refund is done or the debt has been assigned to someone else.