State Bank of India Vs. Videocon Industries Limited (VIL) and Ors. – NCLT Mumbai Bench
February 12, 2020
Application was filed before the Adjudicating Authority to direct the Resolution Professional to treat all assets properties, rights, claims, benets of three group companies (having foreign oil and gas assets) of the Corporate Debtor as its assets and properties, and also to make moratorium applicable on foreign assets. While allowing the application, the Adjudicating Authority observed that in case the assets are not considered to be the assets of a single economic entity, then the effective resolution of 13 Corporate Debtors would not meet the objective envisaged under the Code and they will be forced into liquidation despite having sufficient assets to resolve the Corporate Debtor.