In a major relief for Zee Entertainment Enterprises Ltd., the National Company Law Appellate Tribunal (NCLAT) today (February 24) stayed the order directing the initiation of insolvency proceedings against Zee. The move came after NCLAT heard the plea of Zee managing director and CEO Punit Goenka, challenging the insolvency proceedings against the media company.
The Tribunal has issued a notice to IndusInd Bank which had filed the insolvency plea. The NCLAT will next hear the case on March 27. Senior advocate Mukul Rohatgi appeared for Punit Goenka.
IndusInd Bank’s insolvency matter pertains to a default of Rs. 89 crore by Zee Group’s Siti Networks. Zee claimed before the NCLAT that the entire amount of Siti Networks’ debt is not recoverable from Zee.