Govt to review NCLT order against Almas Global group

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Govt to review NCLT order against Almas Global group

The government will examine a recent order by the Kolkata bench of the National Company Law Tribunal NCLT against one of the stakeholders in the group that won the bid for state-owned Pawan Hans before issuing the final letter of award, said people with knowledge of the matter. The government had been hoping to complete the strategic disinvestment of the helicopter company by June. The letter of award has not been issued. An official who is aware of the development said that we will do a legal examination of the NCLT order before proceeding further. The NCLT had been questioned about the financial health of the majority stakeholder in Star 9 Mobility Pvt Ltd, the winning bidder for Pawan Hans, as the majority stakeholder of the Cayman Islands-based Almas Global Opportunity Fund SPC AGOF. On April 22 the NCLT order was issued in connection with Almas Global's successful bid of 568 crore for EMC Ltd in insolvency proceedings. EMC was admitted to the Corporate Insolvency Resolution Process on November 12, 2018 for defaulting on 6,500 crore loans. The resolution plan was approved on October 19 but the company didn't pay any amount except the bank guarantee, which led to delays in resolution proceedings. A 51% stake in Pawan Hans helicopter services provider was approved by the government last month, along with a transfer of management control to Star 9 Mobility. The group of Big Charter Pvt Ltd, Maharaja Aviation Pvt Ltd and Almas Global had offered 211.14 crore against the reserve price of Rs 199.92 crore fixed by the government. Almas Global holds 49% of the special purpose vehicle SPV, while Big Charter has 26% and Maharaja Aviation holds 25%. One of the unions representing a third of Pawan Hans employees has filed a petition in the Delhi High Court asking for the cancellation of the notice inviting expression of interest EoI issued in 2020. All three entities in the consortium had submitted their annual financial statements with the expression of interest and request for proposal RFP This is the second of three recent privatisation exercises that have run into trouble. Central Electronics Ltd's privatisation, which took place soon after that of Air India, was put on hold as the government is looking at allegations made by employees.