The National Company Law Tribunal (NCLT) has ordered liquidation of Hindustan Paper Corporation (HPC) and appointed an Official Liquidator for HPC.
This information was given by the Minister of Heavy Industries & Public Enterprises, Prakash Javadekar, in a written reply in the Lok Sabha on Tuesday.
The National Company Law Tribunal is a quasi-judicial body in India that adjudicates issues relating to Indian companies.
The NCLT through an order dated 13.06.2018 directedinitiation of Corporate Insolvency Resolution Process under the Insolvency andBankruptcy Code (IBC), 2016 against HPC. Thereafter, as per the provisions ofIBC, the Board of Directors of HPC stood suspended and a ResolutionProfessional (RP) and a Committee of Creditors were appointed for HPC.
The Chairman and Managing Director, HPC had filed an appealin the National Company Law Appellate Tribunal (NCLAT) against theaforementioned NCLT order dated 13.06.2018. The said appeal was dismissed bythe Appellate Tribunal vide order dated 08.01.2019.
The NCLT, during the hearing of the case on 02.05.2019,ordered for the liquidation of HPC and appointed an Official Liquidator forHPC. Subsequently, NCLAT on 29.05.2019 directed the Official Liquidator, HPC toensure that the HPC remains a 'going concern' during the liquidation. TheOfficial Liquidator, HPC is proceeding as per the provisions of the IndianBankruptcy Code 2016, the statement said.
