CBIC goes to NCLT, claims Rs 4.6 crore CGST dues from Videocon

Industry:    2019-09-18

The Central Board of Indirect Taxes and Customs approached the National Company Law Tribunal (NCLT) on Tuesday, to register a claim of Rs 4.6 crore as central GST dues from the Videocon group.

The board is an operational creditor to Videocon Industries in the ongoing resolution process at the company, and had sent several letters to its resolution professional, Mahender Khandelwal, about the claim.

The government’s dues are likely to be classified by the resolution professional as “contingency claims” and the board is not happy with it, said the counsel representing the board, which filed an intervention application with the tribunal.

The Videocon resolution process has been going on for 427 days, and the tax authorities are seeking a quick redressal.

But, it may still take time as the lenders may change the company’s resolution professional. Recently, its committee of creditors had undertaken a voting process to replace Khandelwal.

However, Videocon and the trade union of Videocon, Nagar Zila Mazdoor Sena, have filed an application opposing it.

“The process of changing of the RP needs to be harmonious and in consonance with the objective sought to be achieved in the IB (Insolvency and Bankruptcy) Code, which is maximisation of the value of asset, and that too in a limited time and with limited resources, so that resolution of the corporate debtor can be done as a going concern,” said Sandeep Ladda, a lawyer representing Videocon.
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