Vimal Oil & Foods’ Creditors disapprove corporate involvency resolution plan

AHMEDABAD | MUMBAI | RAJKOT –  In a regulatory filing submitted to the Indian Bourses today, Ahmedabad and Mehsana headquartered Vimal Oil & Foods Ltd updated the exchange and investors on the corporate insolvency resolution process, stating committee of creditors has disapproved the resolution plan.

Vimal Oil & Foods Limited has informed the Exchange pursuant to section 30 of Insolvency & Bankruptcy Code, 2016, the resolution plan received by the Resolution Professional (RP) of Vimal Oil & Foods Ltd. was submitted to the Committee of Creditors (CoC) by the RP, the filing read.

The CoC members through e-voting have disapproved the resolution plan.

Resulting the resolution professional could not submit the resolution plan accordingly to the National Company Law Tribunal (NCLT), Ahmedabad, the filing claimed.

However, accordingly pursuant to section 33(1)(a), the RP has filed a miscellaneous application to NCLT seeking necessary Order/s in respect of the corporate debtor and proceedings on the same are on going at NCLT-Ahmedabad Bench.

The filing submitted by the company to the Indian Exchanges on Monday prior to opening of the trading session, after a weekend holiday, did not make any impact on the share prices of the company, failing to woo the investors & traders, resulting the share prices of the company opened flat and traded flat throughout the day.