Hindusthan National Glass & Industries Limited has informed the Exchange about updates in relation to the Orders passed by the Hon'ble NCLT Kolkata Bench dated 30th April, 2025 and 13th June, 2025 in the matter of DBS Bank Ltd. v. Hindusthan National Glass & Industries Ltd.
Awaiting price reaction for this filing.
The National Company Law Tribunal (NCLT), Kolkata Bench has passed orders on April 30, 2025 and June 13, 2025 in a case filed by DBS Bank against the company. DBS Bank had filed an intervention application seeking to enter the company's ongoing Corporate Insolvency Resolution Process (CIRP) and remove the current Resolution Professional (RP). After conflicting views between the Judicial and Technical Members, the matter was referred to a Third Member. By a majority decision on June 13, 2025, the NCLT allowed DBS Bank's intervention and directed the Insolvency and Bankruptcy Board of India (IBBI) to replace the current Resolution Professional in accordance with law. The company is already undergoing CIRP, and this order has been forwarded to the IBBI for action.
This development introduces further uncertainty in the company's already troubled insolvency process. A change in Resolution Professional can reset timelines, alter the resolution strategy, and potentially delay recovery for shareholders and creditors. Existing equity holders face heightened risk of further value erosion as the resolution process becomes more contested.