Essar Steel vs RBI: Central bank to issue corrigendum

Gujarat HC to hear Essar's plea against insolvency proceedings on July 12

The Reserve Bank of India (RBI), on Friday, told the Gujarat High Court that it would issue a corrigendum on its June 13 circular that allowed the National Company Law Tribunal (NCLT) to accord priority to 12 non-performing asset (NPA) accounts set to face insolvency proceedings. The court also adjourned till July 12 the hearing of Essar Steel’s petition asking for a stay on insolvency proceedings.

The court was hearing Essar Steel’s plea, filed on July 4, against insolvency proceedings initiated against it at the NCLT by State Bank of India-led 22 banks’ consortium of lenders as well as Standard Chartered