Anil Ambani’s RCom back to insolvency as NCLAT vacates stay

Insolvency proceedings will now be initiated against Anil Ambani’s debt-ridden firm Reliance Communications in the Mumbai bench of the National Company Law Tribunal (NCLT) as the National Company Law Appellate Tribunal (NCLAT) on Tuesday vacated a stay on such proceedings it had granted in May 2018.
The Mumbai bench of the NCLT had last year on May 16 admitted an insolvency petition filed by Ericsson India against RCom and its two subsidiaries — Reliance Infratel and Reliance Telecom — for failing to pay its dues.

However, on RCom’s appeal, the appellate tribunal had on May 30, 2018, halted the insolvency proceedings. This was based after the financial creditors and RCom had said that a settlement with Reliance Jio was underway.