Only Rs 39,500 cr for distribution among Essar creditors, CoC tells NCLAT

CoC says Rs 2,500 crore kept as minimum guarantee for financial creditors during pendency of resolution process

Essar Steel India Limited's committee of creditors (CoC) on Thursday told the National Company Law Appellate Tribunal (NCLAT) that out of ArcelorMittal's bid amount of Rs 42,000 crore, only Rs 39,500 crore was meant for distribution among the various creditors of the company. The remaining Rs 2,500 crore was kept as a minimum guarantee in the form of working capital for financial creditors of the company during the pendency of the corporate insolvency resolution process.

“It is a fact that in the Supreme Court offer was made for Rs 42,000 crores. But in the final judgment, the Supreme Court only