The proceedings have been initiated by PCHFL against Reliance Power and RNRL under section 7 of the IBC Code 2016, in NCLT Mumbai.
Piramal Capital and Housing Finance Ltd has initiated bankruptcy proceedings against Reliance Power and its subsidiary Reliance Natural Resources Ltd. The proceedings have been initiated by PCHFL against Reliance Power and RNRL under section 7 of the IBC Code 2016, in NCLT Mumbai. RNRL had merged with Reliance Power in 2010.
RNRL had defaulted on a loan of INR 526.10 crore, obtained from the erstwhile Dewan Housing Finance Corporation Ltd (DHFL). The Piramal Group had acquired DHFL last year and PCHFL had been merged with DHFL. Significantly, Ajay Piramal’s son, Anand Piramal is married to Anil Ambani’s niece, Isha Ambani. While the issue could have been solved informally given the familial connection, it looks like a completely professional dealing. This move comes at a time when a large number of Anil Ambani’s assets have been dissolved already.