GuarantCo Ltd, part of the Private Infrastructure Development Group (PIDG), has moved the Guwahati bench of NCLT to initiate insolvency proceedings against Calcom Cement, a Dalmia Cement subsidiary.
The Mauritius-based company has moved the National Company Law Tribunal (NCLT) claiming Calcom, in which Dalmia Cement holds 75 per cent stake, for the latter's alleged failure to repay dues of around Rs 100 crore, a GuarantCo counsel said on Tuesday.
In 2008, GuarantCo guaranteed a loan availed by Calcom from Axis Bank and HDFC Bank.
GuarantCo repaid the loans on behalf of Calcom after the banks raised demand. But the company alleged that Calcom failed to repay it as per the schedule and the total due is about Rs 100 crore, counsel for GuarantCo Manoj K Singh told PTI.
The matter is yet to be listed for hearing.
"In 2012, GuarantCo initiated legal action against Calcom which was later withdrawn after an MoU was signed between the two on repayment of the due amount which later got the approval of the RBI in 2017," the counsel said.
However, Singh claimed, Calcom has failed to honour the terms of MoU as well as the RBI approval especially payment of interest.
Reacting to the development, a Dalmia Cement spokesperson said, "Calcom Cement has not committed any default in making payments to Guarantco Ltd. It may be noted that the 100 per cent outstanding bank loans of more than Rs 500 crores of Calcom have also been pre-paid before time."
"On two previous occasions, the RBI had rejected GuarantCo's application. However, after Calcom's efforts, their third application was approved by RBI capping the payment that could be made to GuarantCo," she said.
Guarantco is demanding more payments on different counts which are neither in consonance with the RBI approval, nor have been agreed by Calcom Cement, the spokesperson asserted.
The company is using the Insolvency and Bankruptcy Code (IBC) to put pressure on Calcom Cement, the Dalmia official alleged.
Calcom is a player in the north east market.
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