NCLAT disposes of contempt plea against Reliance Infratel

By: | Published: January 2, 2019 9:53 PM

The NCLAT Wednesday disposed of a contempt plea against Reliance Infratel by HSBC Daisy Investments (Mauritius) and other minority shareholders over default in payment on technical grounds.

Reliance Infratel, NCLAT, HSBC DaisyA two-member bench of the National Company Law Appellate Tribunal (NCLAT), however, gave HSBC Daisy liberty to approach again with its contempt plea against the officials of Reliance Infratel.

The NCLAT Wednesday disposed of a contempt plea against Reliance Infratel by HSBC Daisy Investments (Mauritius) and other minority shareholders over default in payment on technical grounds. A two-member bench of the National Company Law Appellate Tribunal (NCLAT), however, gave HSBC Daisy liberty to approach again with its contempt plea against the officials of Reliance Infratel.

“We allow the appellants to withdraw, with liberty to file fresh petition for contempt,” said the bench headed by Justice S J Mukhopadhaya. NCLAT has also asked them to make the government a party in their contempt petition. HSBC Daisy moved the appellate tribunal over alleged default of payment of Rs 230 crore by Reliance Infratel. As per the consent terms of the agreement between Reliance Infratel and HSBC Daisy and others, recorded by the NCLAT in its order dated June 26, 2018, the Anil Ambani-owned firm was to pay the amount in next six months.

“Appellants (Reliance Infratel) agree and undertake that they shall jointly and/or severally pay a sum of Rs 230 crore to the respondents in the proportion as set out in Annexure A hereto within a period of 180 days… ,” said the consent term recorded by NCLAT on June 26. The six-month period has come to an end following which HSBC Daisy and other nine minority shareholders holding 4.26 per cent stake in Reliance Infratel filed the contempt plea.

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