Delhi HC rejects ICICI Bank plea claiming Rs 250-crore dues from Malvinder, others

By: | Published: July 25, 2018 3:44 AM

Seeking intervention in the case filed by Japanese pharma major Daiichi Sankyo for execution of the HC’s January 31 order that upheld the enforceability of the Rs 3,500-crore arbitral award passed against the Singh brothers and others, the bank told Justice Jayant Nath that it has equal rights over the assets of Singh and its dues shall be recovered from sale of the listed shares.

icici bank, delhi high courtICICI Bank had initiated recovery proceedings against RHC Finance and others before DRT for recovery of Rs 250 crore.

Seeking intervention in the case filed by Japanese pharma major Daiichi Sankyo for execution of the HC’s January 31 order that upheld the enforceability of the Rs 3,500-crore arbitral award passed against the Singh brothers and others, the bank told Justice Jayant Nath that it has equal rights over the assets of Singh and its dues shall be recovered from sale of the listed shares.

However, the judge disposed of the ICICI Bank’s plea, asking it to come back after having a decree in its favour from the Debt Recovery Tribunal (DRT).

ICICI Bank had initiated recovery proceedings against RHC Finance and others before DRT for recovery of `250 crore. The tribunal on May 11 had restrained Malvinder and RHC from transferring or alienating any assets till disposal of the recovery suit.

The application stated that both the ICICI Bank and Daiichi are unsecured creditors, thus similarly placed and having equal right over the assets. “Neither Daiichi nor any other unsecured creditor can claim any preference over the claims of others in the disbursement of the sale proceeds of the assets… if the sale proceeds of assets are disbursed entirely to the satisfaction of amounts due to Daiichi, then the interests of other unsecured creditors like that of ICICI Bank would be adversely affected,” it said.

Last week, the high court had refused to stay the finalisation of the deal between Fortis Healthcare and IHH Healthcare Berhad, but restrained the Singh Brothers from selling, creating third party rights on Fortis trademarks. It had also asked duo to disclose all overseas assets, antiquities, artefacts, paintings in a sealed cover before August 1, the next date of hearing.

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