Venugopal Dhoot moves before the NCLAT challenging Anil Agarwal’s bid for Videocon

Twin Star Technologies is owned by Anil Agarwal-led Vedanta Group’s Volcan Investments.

According to the Economic Times (ET), Videocon Group’s former promoter, Venugopal Dhoot, has moved before the National Company Law Appellate Tribunal (NCLAT) against an order that approved a ₹2,692 crore takeover by Vedanta Group-led Twin Star Technologies for thirteen companies in the month of June.

In Dhoot’s petition, he has requested to set aside the order passed by the tribunal’s Mumbai bench along with directing the lenders to consider a settlement plan of ₹31,789 crore submitted by him under Section 12 of the Insolvency & Bankruptcy Code (IBC).

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Furthermore, he questioned the role of Resolution Professional (RP) and said that the information memorandum (Tender Form) should have mentioned foreign and gas assets of Videocon Group to all bidders which is why no valuation was considered.

He added that the RP as well as lenders were wrong to ignore NCLT’s order to treat and include foreign oil and gas assets of Videocon as assets of Videocon Industries Limited (VIL).

As per BloombergQuint, Dhoot stated, “If resolution professional had sold oil and consumer durables together, the resolution professional would have got minimum ₹25,000 crore against loan of ₹49,000 crore (₹29,000 of VIL consumer durables and ₹20,000 crore of oil assets). He continued saying that the recovery would have been around 50 per cent.

Videocon’s former promoter has requested the insolvency court’s order approving the resolution plan by Twin Star to be cancelled and the formation of a new resolution plan which includes Oil and Consumer Durable assets.