The National Company Law Appellate Tribunal (NCLAT) on Friday ruled Numetal’s second bid for Essar Steel eligible, and gave ArcelorMittal time till September 11 to clear dues of its delinquent subsidiaries.
Following is a timeline of events in the Essar Steel saga.
August 2, 2017
: NCLT admits insolvency plea filed by SBI against Essar Steel. Original timeline for 180 day resolution was January 29, 2018- then extended by 90 days to April 29, 2018
October 28, 2017: Six firms submit EOIs (expression of interests) - ArcelorMittal, Numetal, Nippon & Sumitomo Metal, Tata Steel, Vedanta Group, SAIL. Promoters of Essar Steel also submit EoI
November 23, 2017: Government amends Insolvency & Bankruptcy Code, introduces Section 29A that bars promoters of defaulting firms from participating in bids
February 12, 2018: Only two players submit final bids for co- ArcelorMittal, Numetal (Numetal to have offered Rs 19K cr and Arcelor 32K cr)
March 20, 2018: Numetal moves NCLT challenging rejection of bid even before CoC verdict is made public
March 21, 2018: Both Numetal & ArcelorMittal declared ineligible under Section 29 (a) of IBC by creditors committee; second round of bids invited
March 26, 2018: ArcelorMittal challenges disqualification in NCLT
April 2, 2018: Second round of bids concludes. ArcelorMittal-Nippon Steel , Numetal-JSW Steel, Vedanta Group place bids. Numetal claims it bid Rs 37,000 cr in second round
April 19, 2018: NCLT declares second round of bids invalid- court asks CoC to consider first round of bids, allow time to cure eligibility
April 26, 2018: Both Numetal & ArcelorMittal file petitions in NCLAT challenging the disqualification of their first round of bids
May 14, 2018: ArcelorMittal deposits Rs 7,000 cr in its current account at State Bank of India, London to repay dues of KSS Petron & Uttam Galva Steels on the condition that Numetal be disqualified
May 22, 2018: NCLAT orders status quo on insolvency proceedings against Essar Steel
September 7, 2018: NCLAT rules Numetal eligible in second round, ArcelorMittal eligible if dues of KSS Petron & Uttam Galva Steels cleared by September 11