Firm goes bankrupt, no takers for Mohali ISBT

Firm goes bankrupt, no takers for Mohali ISBT

IBBI amends the Insolvency and Bankruptcy Board of India (Liquidation Process) Regulations, 2016
IL&FS case: RBI scans internal processes to identify any lapses
SEBI steps in to bring more transparency in debt funds

MOHALI: No private or government agency has come forward to operate the indebted Baba Banda Singh Bahadur Inter State Bus Terminus at Phase VI here after the company building and operating the terminus went into liquidation and called for expressions of interest under insolvency around two months back.

Being the primary authority to control the working of the bus stand, the Greater Mohali Area Development Authority (Gmada) had sought clarification from Insolvency Resolution Professional (IRP). IRP is appointed to manage the resolution process and to conduct liquidation of a corporate debtor. The national company law tribunal (NCLT) went in for liquidation of the company under the regulations of insolvency and bankruptcy.
Gmada chief administrator Kavita Singh said, “We are working on various modules to operate the bus terminus. We will declare when the plans are finalised.” Sources in Gmada said the authority is looking into taking over the operations of the bus stand, for which modalities are being worked out.

It was in 2009, when the Gmada had signed an agreement with C&C Towers Company with the assurance that the project will be completed within 30 months, but it’s been more than eight years and the commercial towers have not been completed, though bus terminal has become operational.

‘Gmada not taking ISBT issue seriously’

On the other hand, more than 300 buyers, who invested around Rs 100 crore for buying commercial properties since 2010 at the bus terminal, accused Gmada of taking the issue lightly and police not acting despite the HC directions. Jasdeep Singh, president, C&C Mohali Junction Clients Association said, “It is sad that Gmada is not taking the issue seriously. We want the commercial part of the bus stand to be made operational, so that we may get a return.” He said most of the stakeholders had started depositing Rs 25 lakh-Rs 1 crore in 2010. Police had arrested one of the directors, Sanjay Gupta, of C&C company, from Delhi in December 2019. Lookout circulars had also been issued against chairman Gurjeet Singh Johar along with directors Charanbir Singh Sethi, and Sanjay Gupta.

Source- Times of India.