Reliance Retail likely to claim Rs 6,000 Cr from Future Retail
New Delhi Reliance Retail is likely to claim Rs6000 crore under the bankruptcy proceedings of unborn retail. The pretenses of Reliance Retail include working capital of around Rs4,800 Cr and the rest in overdue sub-lease settlements, sources added.
Reliance will file a claim as functional creditor once an interim resolution professional (IRP) invites operations for claims.
Ashish Pyasi, Associate Partner, Dhir and Dhir Associates said that claims of colorful stakeholders will be vindicated by the professional before those are put in different orders. For Reliance, its claim may fall under different orders depending on the nature of sale documents, he added.
“From the information available in the public sphere, reliance will be claiming for the parcel rent which it was supposed to get from unborn still due to failure on the part of future, now reliance can claim the same in the resolution process of future as functional creditor.
Recent judgments also suggest that the parcel rent can be claimed as functional debt. thus, if reliance has any claim arising out of any outstanding rent also same will come functional debt,” he further said.
Pyasi also refocused out that if the other debt is by way of loan or fiscal backing also reliance will come a fiscal creditor to such an extent, he said. Reliance can also be part of a commission of creditors as per Pyasi. However, Pyasi said, If the claim of reliance as functional creditor is further than 10% of the total debt of the future also it’ll be entitled to attend the commission of creditors meeting but without any right to bounce.
In case the fiscal backing given by Reliance is treated as a loan also it’ll come a fiscal creditor to such an extent and also, it’ll have a voting share in the commission of creditors meetings, he added.
Reliance Retail has been claiming that it was paying rent on behalf of the company before taking over stores. Reliance took over 947 stores of Future Group which latterly failed to pay rent. In March, Reliance terminated the parcel of 835 unborn Retail stores and 112 unborn life stores.
unborn Retail owed banks Rs5,322.32 crore, Bank of India, Union Bank, SBI among supereminent creditor. National Company Law Tribunal (NCLT) admitted bankruptcy solicitation against Future Retail on Wednesday. Though there are colorful stakeholders involved in any process still the resolution purely depends on the value of means and the prospective suitors for the same, Pyasi said.
However, he added, If there are people who are willing to buy future for a sum as they suppose fit and same is respectable to the commission of creditors also the chances of resolution of unborn company is much advanced than any other also placed company.