Sadbhav Engineering Says Taking Steps To Clear Dues, Withdraw Insolvency Case

Sadbhav Engineering Says Taking Steps To Clear Dues, Withdraw Insolvency Case

The bankrupt company files application before NCLAT for the withdrawal of insolvency case

Sadbhav Engineering Ltd. said it is taking steps to clear the dues of its operational creditor S.S. Infra and for the withdrawal of insolvency case against the company.

The development comes after India’s National Company Law Tribunal (NCLT) on 22 April admitted Sadbhav Engineering for insolvency resolution following a petition by S.S. Infra, claiming a default of about four crore rupees ($480,076) related to a previously completed work.

“The company is taking urgent steps to pay the entire balance amount of approximately 2.52 crore rupees as a full and final settlement today,” Sadbhav Engineering said in a stock exchange announcement.

The company said it is also filing simultaneously applications for withdrawal of the case and seeking relief from the National Company Law Appellate Tribunal (NCLAT), with a request for urgent listing hearing. The hearing is expected today, it added.

Sadbhav Engineering, which filed the application before the NCLAT, reiterated that the company will take all necessary and urgent actions to mitigate this adverse development, and expects to sort out the issue soon.

Founded in 1988 by Vishnubhai Patel, Sadbhav Engineering is involved in the construction and development business, according to its website.

Note: $1 = 83.3201 Indian rupees

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