63 Moons Technologies, a debenture holder of the debt-ridden DHFL, on Wednesday moved the Supreme Court against the National Company Law Appellate Tribunal’s order that refused to stay the implementation of Piramal’s approved resolution plan for the mortgage lender.
63 Moons, which holds non-convertible debentures (NCDs) worth over Rs 200 crore issued by DHFL, has challenged the NCLAT’s judgment on the grounds that the current resolution plan is disappointing for NCD holders.
It submitted that if the resolution plan is implemented, the position of all stakeholders would be irreversibly altered. The stipulation in the approved RP will deprive the persons who were defrauded by fraudulent transactions and this would be against the public policy, 63 Moons said, adding that ascribing a value of Rs 1 to the future recoveries (involving amounts in excess of Rs 45,000 crore) is not adequately factoring in the resolution plan and this has not taken into consideration the aspect of value maximisation of the assets of DHFL. The NCLT, Mumbai Bench, had on June 7 conditionally approved the Piramal Capital & Housing Finance’s Rs 34,250 crore resolution plan to acquire DHFL.
DHFL has been undergoing insolvency proceedings at NCLT in Mumbai since December 3, 2019. The troubled mortgage lender has admitted claims of Rs 87,120 crore, with SBI being the lead creditor. Bondholders have claimed Rs 45,550 crore while financial creditors have sought Rs 41,342.23 crore from the mortgage financier.
Lenders on January 15 had voted in favour of Piramal Capital’s Rs 34,250 crore bid for the troubled mortgage lender with a 93.65% vote. 63 Moons Technologies also voted in favour of the Piramal’s plan.