SBI to withdraw fraud tag on Reliance Infratel
Freepik
In a strange turn of events, the State Bank of India (SBI) on Wednesday chose to withdraw the fraud tag against RComs tower and fibre company Reliance Infratel Ltd by filing an affidavit in NCLT Mumbai, stating that it wanted to remove the fraud tag on the company.
Reliance Projects and Property Management Services, a part of Reliance Industries Group, was the successful resolution partner in the CIRP (Corporate Insolvency Resolution Process) of Rel Infratel Ltd. It won the right to acquire 100 per cent shareholding of Rel Infratel Ltd.
In its resolution order dated December 3, 2020, the NCLT had awarded the company to RIL Group. However, SBI had classified the Rel Infratel Ltd account as fraud on November 10, 2020, but curiously withheld this vital piece of information before the NCLT when it gave its order.
The probe, which looked at transactions between May 2017 and March 2018, found three large entries buried under hundreds of thousands of others that the SBI-led lenders group suspects could conceal fund diversion.
Synopsis
The bench directed Jio to furnish application copies to all parties and asked them to file their replies and adjourned the hearing to June 10. On December 3, the National Company Law Tribunal’s (NCLT) Mumbai bench had cleared Jio s resolution plan to pick up the tower and fibre assets of RCom – housed under Reliance Infratel - for under Rs4,000 crore which would have gone to the lenders.
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Reliance Jio Infocomm (Jio) has moved the bankruptcy court against
Reliance Communications (Rcom) tower unit, Reliance Infratel, seeking disclosures of the forensic audit reports of the tower company whose accounts, along with its parent’s, were marked as “fraudulent” by some of its lenders.
According to sources, Reliance Jio, through Reliance Project and Property Management Services Ltd, has filed an application in the NCLT Mumbai against the CoC of Reliance Infratel Ltd (RITL).The
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