NCLAT reserves order on Reliance Communications plea to release IT funds

NEW DELHI: The National Company Law Appellate Tribunal on Wednesday reserved its order on a petition by Reliance Communications which has approached the tribunal seeking the release of income tax refunds to clear dues of Ericsson. Lenders of RCom have opposed the plea. After hearing both the sides, the NCLAT bench headed by Chairperson SJ Mukhopadhyay reserved the order in the case.

Senior lawyer Kapil Sibal appearing for Anil Ambani-led Reliance Communications appealed for payment to be made to Ericsson from the trust and retention account held by SBI under which assets of telecom firm have been mortgaged.

Senior lawyer Neeraj Kishan Kaul appearing for SBI argued for rejection of the RCom’s appeal, contending that it will lead to the outgo of public money for settling payment of a private party.