Two years after bankruptcy proceedings were initiated against Anil Ambani's Reliance Capital by the Reserve Bank of India, the resolution is still stuck. The deadline for resolution has been extended four times since then, and the last date for it as of now is April 16, as lenders will be holding a second auction.
Since the auction date has once again been pushed to April 11 and Torrent is still pursuing a litigation against it, the creditors are considering another extension.
Who's bidding for the bankrupt firm?
Along with the Hinduja Group and Singapore-based investor Oaktree, Torrent will also participate in the auction, even though its petition will be heard in the Supreme Court in August.
All firms are still ironing out issues raised by them by talking to the committee of creditors for Reliance Capital.
Why has it been stuck?
One of the concerns for bidders is compliance with bankruptcy and resolution plan submission guidelines since the Hinduja Group had sent its bid after the auction last time.
That issue has also been the bone of contention that led Torrent to oppose the move towards a second auction in the National Company Law Tribunal, which had halted it.
But the appellate tribunal NCLAT allowed it and Supreme Court refused to stay that order.
