Business

ArcelorMittal seeks immunity from probes in Essar Steel case, says report

Updated : December 04, 2019 10:10 AM IST

According to the report, Lakshmi Mittal wants to avoid a recurrence of any controversy.

The report added that ArcelorMittal has told the government that any future or ongoing investigations into past deals of the Ruia family should not impact the assets of Essar Steel.

Steel major ArcelorMittal has approached the government seeking immunity from any future investigations that may happen pertaining to Essar Steel and its erstwhile promoters, the Ruia family, The Economic Times reported, citing people familiar with the matter.

According to the report, Lakshmi Mittal wants to avoid a recurrence of any controversy. The report added that ArcelorMittal has told the government that any future or ongoing investigations into past deals of the Ruia family should not impact the assets of Essar Steel.

“ArcelorMittal has held talks with several ministers and civil servants, and has received a positive reply,” one of the persons aware of the development told the paper, adding the company reached out to ministries including home, finance, law and defence.

“It has been a long battle for the Mittals, and this is their way of preventing future troubles after they transfer money to the banks. ArcelorMittal is very clear it doesn’t want any ambiguity around any present or future liabilities,” the person was quoted as saying.

When contacted by the paper, ArcelorMittal declined to comment while queries sent to the ministries did not elicit a response.

Essar Steel was admitted to the bankruptcy court in June 2017 and ArcelorMittal finally bagged the assets with its Rs 42,000 crore bid. Essar Steel owes Rs 54,500 crore to the banks. "ArcelorMittal wants legal clarity from the government before it transfers money into the escrow account," the report said.

ArcelorMittal seeks immunity from probes in Essar Steel case, says report

You May Also Like

Cummins India Q1 PAT down 65% at Rs 53 cr

Natco Pharma s Q1 net down 14.5% at Rs 122 cr

Trump administration relaxes H-1B visa rules, allows holders to enter US on conditions

Trending on CNBC-TV18

recommended for you