NEW DEHI: An Essar Steel's majority shareholder Tuesday moved NCLAT seeking rejection of ArcelorMittal's ₹42,000 crore bid of the bankrupt company, alleging that its promoter Lakshmi Mittal hid his association with loan defaulting firms run by his brothers, that made his firm ineligible to participate in insolvency proceedings. The plea by Essar Steel Asia Holdings Ltd (ESAHL), which holds 72 per cent shares of Essar Steel, comes weeks after an insolvency court cleared ArcelorMittal's bid for Essar Steel, which was auctioned by lenders to recover unpaid loans. In its petition, ESAHL said Arcelor Mittal India Ltd and its promoter Lakshmi Mittal had "misled" the Supreme Court, lenders and insolvency court into believing that they had ceased to have any business association with Pramod and Vinod Mittal and their companies. ESAHL alleged that ArcelorMittal was fully aware of such ongoing business association and consequent ineligibility. This story has been published from a wire agency feed without modifications to the text.

Source: Mint May 07, 2019 09:56 UTC