Private sector lender Yes Bank has approached the dedicated bankruptcy court against BSE listed Essel Group company Zee Learn Ltd under the Corporate Insolvency Resolution Process (CIRP) for the default of about Rs 468 crore.
The Mumbai bench of the National Company Law Tribunal (NCLT), preceded by Justice PN Deshmukh and KK Vohra has directed the lender to intimate the Zee Learn about the notice and has adjourned the matter further to June 8, 2022.
“YES Bank has allegedly claimed that the total amount in default with respect to the financial facility is Rs. 468 Crores. However, the Company is compiling information to verify the facts claimed in the said petition filed by Yes Bank Ltd,” said the company in its exchange filing on April 25.
As per the company’s website, Zee Learn Ltd runs Asia’s largest pre-school, Kidzee, with over 1900 operational pre-schools in over 750 cities across India and neighbouring countries. The company also runs over 120 Mount Litera Zee schools in about 110 cities across the country.
“As of now, notice has been issued to Zee Learn Ltd to come forward and defend the petition filed by the lender,” said Ashish Pyasi, Associate Partner at the law firm Dhir & Dhir Associates. “Under the law, the bench has to give notice of hearing before proceeding with the hearing. Zee will get a chance to defend the petition and would be permitted to file its defence to the petition.”
The YES Bank has approached the tribunal through advocate Dharmesh Jain and seeking to admit the company under Section 7 of the Insolvency & Bankruptcy Code (IBC).
