|
Mercantile Ports & Logistics Ltd on Thursday said that it will continue to pursue all available legal remedies regarding a debt dispute in India. The port operator said its application challenging the decision of India’s Committee of Creditors, which rejected the promoters’ Section 12A proposal and approved the resolution plan relating to Karanja Terminal & Logistics Private Ltd, is scheduled to be heard before the National Company Law Tribunal next week Wednesday. On June 10, Mercantile Ports had said that the application could not be heard on June 8. Mercantile Ports said it plans to highlight ‘one of the most significant developments to emerge from the lenders’ and Prudent ARC’s own filings,’ which ‘reveal that a competing proposal [from Prudent ARC] had already been submitted and was being actively considered even before [its one-time settlement] was terminated. ‘The chronology now emerging raises a fundamental question: was MPL ever intended to be allowed to complete the sanctioned settlement process[?]...Had these facts been known and disclosed at the time, including during proceedings before the Delhi High Court and other proceedings, the company has been advised that it is likely that the outcome would have been in the company’s favour,’ Mercantile Ports said. Mercantile Ports Managing Director Pavan Bakhshi said: ‘For the first time, the lenders’ and Prudent ARC’s own filings reveal that while MPL was looking to make the payment and working towards completion of a sanctioned settlement, a competing proposal from Prudent ARC had already been submitted and was being considered by the lenders.’ He added: ‘MPL had won the Swiss Challenge process, deposited approximately £3.8 million pursuant to that process and remained within the agreed payment timetable. Yet the one time settlement was subsequently terminated and the debt ultimately transferred to the very party that had lost in the original process. ‘These admissions raise serious questions regarding transparency, fairness and whether MPL was ever afforded a genuine opportunity to complete the settlement. We look forward to presenting these matters before the National Company Law Tribunal on 1 July. The Company will continue to pursue all available legal remedies to protect shareholder interests and recover value for stakeholders.’ Mercantile Ports shares jumped 37% to 1.98 pence each on Thursday afternoon in London. Copyright 2026 Alliance News Ltd. All Rights Reserved.
|
