+
Reliance Capital lenders press Hinduja Group arm on resolution deadline
ECONOMY & POLICY

Reliance Capital lenders press Hinduja Group arm on resolution deadline

The lenders of debt-ridden Reliance Capital (RCAP) expressed concern over the slow progress and urged IndusInd International Holdings, a Hinduja Group arm, to expedite the process of obtaining necessary regulatory approvals and adhere to the resolution plan deadline of May 27. In a meeting held in Mumbai on Friday with the senior officials of IndusInd International Holdings' (IIHL), it was conveyed by the lenders of RCAP that the company had to make a payment of Rs 96.50 billion to them by the specified date, according to a source.

It was noted that the National Company Law Tribunal (NCLT) Mumbai, while approving the resolution plan on February 27, had directed the IIHL to implement the resolution plan within 90 days, i.e., by May 27.

As per the approved resolution plan, IIHL was required to make an upfront payment of Rs 96.50 billion to the RCAP lenders.

According to sources, concerns were expressed by the lenders regarding the sluggish progress towards the implementation of RCAP's resolution plan, as IIHL had not yet received crucial IRDAI approval on the resolution plan.

The IRDAI had raised multiple queries and concerns regarding the proposed corporate structure for the transfer of RCAP's insurance businesses to IIHL, and the company was yet to address those concerns.

The approval of IRDAI was crucial for the transfer of Reliance Capital's insurance businesses, namely Reliance General Insurance and Reliance Nippon Life Insurance, to IIHL. The RBI approval for the transfer of RCAP's business to IIHL was also due to expire on May 17. The approval granted on November 17 had a validity of only six months.

If IIHL fails to complete the resolution process within the stipulated timeline, it would be required to provide reasons for the delay to the RBI while reapplying for fresh approval.

The lenders of debt-ridden Reliance Capital (RCAP) expressed concern over the slow progress and urged IndusInd International Holdings, a Hinduja Group arm, to expedite the process of obtaining necessary regulatory approvals and adhere to the resolution plan deadline of May 27. In a meeting held in Mumbai on Friday with the senior officials of IndusInd International Holdings' (IIHL), it was conveyed by the lenders of RCAP that the company had to make a payment of Rs 96.50 billion to them by the specified date, according to a source. It was noted that the National Company Law Tribunal (NCLT) Mumbai, while approving the resolution plan on February 27, had directed the IIHL to implement the resolution plan within 90 days, i.e., by May 27. As per the approved resolution plan, IIHL was required to make an upfront payment of Rs 96.50 billion to the RCAP lenders. According to sources, concerns were expressed by the lenders regarding the sluggish progress towards the implementation of RCAP's resolution plan, as IIHL had not yet received crucial IRDAI approval on the resolution plan. The IRDAI had raised multiple queries and concerns regarding the proposed corporate structure for the transfer of RCAP's insurance businesses to IIHL, and the company was yet to address those concerns. The approval of IRDAI was crucial for the transfer of Reliance Capital's insurance businesses, namely Reliance General Insurance and Reliance Nippon Life Insurance, to IIHL. The RBI approval for the transfer of RCAP's business to IIHL was also due to expire on May 17. The approval granted on November 17 had a validity of only six months. If IIHL fails to complete the resolution process within the stipulated timeline, it would be required to provide reasons for the delay to the RBI while reapplying for fresh approval.

Related Stories

Gold Stories

Next Story
Infrastructure Urban

NABARD Holds Seminar on Vigilance, Integrity and Good Governance

National Bank for Agriculture and Rural Development (NABARD) organised a seminar on “Vigilance: Strengthening Integrity and Good Governance” on 25 August 2026 at its Head Office in Mumbai as part of the ongoing Vigilance Awareness Campaign 2026 being observed from 17 August to 16 November 2026, with the theme “Probity for Prosperity."" The seminar was graced by Suresh N Patel, Former Central Vigilance Commissioner, Government of India, as the chief guest and keynote speaker.  The programme was attended by G S Rawat, Deputy Managing Director, Dr Ajay K Sood, Deputy Managing Dire..

Next Story
Equipment

XCMG Unveils World's First 14,000-Ton Ring Crane for Heavy Lifting

XCMG has announced that the first main unit of the world's first 14,000-ton ring crane has rolled off the production line, marking a historic breakthrough in ultra-heavy lifting technology. Jointly developed by XCMG and Sinopec Heavy Lifting & Transportation Co., Ltd., the crane will be the largest-capacity ring crane ever built, setting a new benchmark for major construction projects worldwide.The crane features a modular configuration comprising two main units that work in tandem. The first main unit has completed final assembly and can independently perform lifting operations. Once both..

Next Story
Infrastructure Urban

Thriveni Logistics orders 200 tip trailers from Jagdamba trailers

Jagdamba Trailers (JTPL), one of India’s growing trailer manufacturers, has secured a significant order for 200 Tip Trailers from Thriveni Transport and Logistics Pvt. Ltd., a leading mining and logistics company serving operations across India and overseas.The order, placed for iron ore transportation, is a major milestone for JTPL, particularly as the company secured the business after competing with more than 10 established trailer manufacturers. It also strengthens an already successful relationship between the two companies. Approximately one and a half years ago, Thriveni Transport and..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code