Revised Letter Attached.
Awaiting price reaction for this filing.
L H Sugar Factories Limited has filed an insolvency petition under Section 7 of the Insolvency and Bankruptcy Code (IBC), 2016 against Oswal Overseas Limited before the NCLT, New Delhi Bench. The petition seeks initiation of Corporate Insolvency Resolution Process (CIRP) against the company for alleged defaults under Inter-Corporate Deposits (ICDs). The default amount claimed in the petition is Rs. 2.25 crore (Rs. 2,25,00,000). A demand notice had been sent to the company on 25.05.2025. The company has stated that the matter is sub judice and at an initial stage, and it is seeking legal assistance from its counsels. Financial implications are not yet determinable.
This is a negative development for shareholders. While the insolvency petition has been filed, it has not yet been admitted by the NCLT. If admitted, it could trigger serious consequences including potential management changes, operational disruption, and dilution or loss of shareholder value. Investors should closely track further hearings and updates.