- (1.) This is an insolvency and bankruptcy application for initiation of insolvency resolution process by a financial creditor M/s. Edelweiss Asset Reconstruction Co. Ltd. against the corporate debtor M/s. Murli Industries Limited.
(2.) The corporate debtor entered into a master restructuring agreement on 06-06-2011 with Bank of Baroda (Monitoring institution) and Punjab National Bank, State Bank of Hyderabad, IFCI Limited, State Bank of Patiala, State Bank of India, Punjab and Sind Bank, IDBI Bank Limited, Allahabad Bank, Bank of Maharashtra, State Bank of Travancore, Andhra Bank and Axis Bank Limited (Lenders). The agreement says that the corporate debtor has requested the lenders for various financial assistance for setting up/implementation of the project and for other requirement for its operations. The lenders sanctioned the term loan and working capital facilities to the corporate debtor and the corporate debtor from time to time created security by way of hypothecation of its moveable assets and/or mortgage of its immovable properties. The corporate debtor requested the lenders for debt restructuring as the project under implementation has come under strain due to various internal or external reasons. Hence, the lenders and the corporate debtor agreed to enter into the master restructuring agreement to give effect to the corporate debt reconstruction package.
(3.) The State Bank of Mysore disbursed a sum of Rs. 50 crores (SBM Facility-I) on 31-03-2011 and the defaulted amount under this facility as on 28-03-2017 is Rs. 84,88,88,896/-. The same bank has sanctioned a sum of Rs. 3,38,49,765/- (SBM Facility-II) on 31st March 2011 and defaulted amount the under this facility as on 28-03-2017 is Rs. 18,74,85,083/-.;