Essar Steel lenders to give time to bidders to cure ineligibility

ArcelorMittal may have to clear outstanding dues totalling Rs 70 billion, if it wishes lay its claim as an eligible bidder

The committee of creditors (CoC) in the Essar Steel insolvency resolution case has decided to issue notices, in compliance with the National Company Law Tribunal (NCLT) Ahmedabad Bench’s order of April 19, to ArcelorMittal and Numetal to cure their ineligibility. 

The notice, which has not yet been officially issued, will ask bidders ArcelorMittal and Numetal to comply with the NCLT Bench order, said a source. 

ArcelorMittal may have to clear outstanding dues totalling Rs 70 billion of two stressed asset accounts — Uttam Galva Steels and KSS Petron — that it was a promoter of until recently, if it wishes lay its