New Delhi : The Supreme Court on Thursday rejected the plea of Dalmia Bharat against an order of the National Company Law Tribunal that had admitted the higher offer by UltraTech Cement for the stressed assets of Binani Cements, which is undergoing insolvency proceedings.
Dalmia Bharat had emerged as the successful bidder for the acquisition of assets of Binani Cement, but subsequently UltraTech Cement, which was the second highest bidder came back with a higher offer, backed by promoters of Binani Cements.
UltraTech Cement’s revised offer of Rs 7,960 crore is Rs 1,000 crore higher than Dalmia Bharat’s offer.
Dalmia Bharat had earlier tried to get an interim stay in the National Company Law Appellate Tribunal, but had failed.
A bench of Justice Rohinton Nariman and Justice R. Banumathi on Thursday said the National Company Law Appellate Tribunal is the appropriate forum to challenge the order of National Company Law Tribunal.
According to Dalmia Bharat, the Kolkata bench of the National Company Law Tribunal did not follow the due process of law as mandated under the Insolvency and Bankruptcy Code.
Arguing that the company emerged as the highest bidder in a process that took place under the established legal framework, Dalmia Bharat’s lawyer insisted that UltraTech’s offer was an “unholy alliance between a failed bidder and a former promoter”.
Justice Nariman said that all these can be argued in the appellate tribunal which will next hear the case on May 22.
