Twin-Star Technologies had offered Rs 2,962 crore to takeover Videocon Industries, which was 4.15 per cent of the admitted claims of Rs 64,838.63 crore of lenders.
The alleged money laundering case being investigated by the ED related to siphoning off six high-value loans from ICICI Bank to various companies of Videocon Industries Ltd.
On August 17, however, the DoT had sent demand notices for the payment of these dues within the week, failing which Bharti Airtel’s bank guarantees would be invoked.
The watchdog had conducted an investigation into the trading of the firm's shares during April-September 2017 period.
While Anil Agarwal-led Vedanta Group has picked up Videocon Industries for Rs 2,962 crore, the bids for overseas assets are yet to be decided.
Bank of Maharashtra had moved NCLAT against the June 8, 2021 NCLT order approving the resolution plan submitted by Vedanta.
They said the searches were being conducted at multiple premises. Further details about the latest action were not available immediately.
Take away some high-profile resolutions where buyers paid big value and the recovery rate drops to 24%. What can be done to ensure better recoveries?
Poor recovery in Videocon is not a case in isolation. The insolvency data show that there are many cases where recovery has been abysmally low—less than 20-30 per cent of banks’ claims.
Videocon insolvency: Creditors to take 96 per cent haircut on dues; NCLT says bidder 'paying almost nothing'
Videocon Industries and its 12 group companies had a total admitted claims of Rs 64,838.63 crore.
Videocon, a consumer durables company manufacturing air-conditioners to washing machines, was among the first 12 companies pushed into bankruptcy after directions from the RBI in 2017.
Twin Star, a part of Vedanta Group, will pay around Rs 500 crore within 90 days as upfront payment and the rest as non-convertible debentures over a period of time.
Former ICICI Bank MD & CEO Chanda Kochhar has sought exemption from questioning by the Enforcement Directorate (ED), citing poor health.
Videocon case: ICICI Bank, Chanda Kochhar face US regulatory probe; Indian agencies may seek foreign help
Earlier in March, when the reports first surfaced in this regard, the bank had said that its board has "full confidence and reposes full faith" in Kochhar.
Whistle-blower Arvind Gupta, in March 2016, had written a letter to the prime minister alleging dirty dealings between the bank, through Chanda Kochhar, and the Videocon Group to benefit her family.