Zee Entertainment Admitted For Insolvency Resolution

India’s National Company Law Tribunal (NCLT) admitted an insolvency resolution petition against Zee Entertainment Enterprises Ltd.

The Mumbai bench of the NCLT also appointed Sanjeev Kumar Jalan, who looks after the restructuring practice at BDO India, as an interim resolution professional (IRP) of the Indian media and entertainment company, according to the tribunal proceedings.

The insolvency resolution petition against Zee was filed by its financial creditor IndusInd Bank.

Previously, IDBI Bank had filed a petition to initiate corporate insolvency resolution process against Zee, claiming a default of about 150 crore rupees ($18 million).

Zee had said IDBI Bank’s purported claim arises under a debt service reserve agreement signed by the bank and the company for the financial facility availed by Siti Networks Ltd., a part of the Essel Group.

Meanwhile, the NCLT has admitted IndusInd Bank’s insolvency resolution petition against Siti Networks and appointed Mohit Mehra as an IRP of the cable company.

(Note: $1 = 82.8096 Indian rupees)

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