Midland Polymers CoC approves resolution plan by Gudapu Reddy Sreedar Reddy
The committee of creditors (CoC) of Midland Polymers has approved the resolution plans submitted by Gudapu Reddy Sreedar Reddy with 97.48% vote share. The CoC rejected another Resolution Plan submitted by Aruna Kailash and Kailash Thanmal Shah, the company said in an exchange filing.
The approval to the resolution plan Gudapu Reddy Sreedar Reddy was came through E Voting during the 4th COC Meeting.
The CoC also ratified the expenditure incurred by IRP with 100% voting during the meeting. It also approved the appointment of Legal Counsel 100% voting. However, the CoC rejected the approval of Incentive to IP with 97.48% voting.
The insolvency application against Midland Polymers was filed by Prem Kumar Bajaj under Section 7 of the Insolvency and Bankruptcy Code (IBC) after the former defaulted on a payment of Rs 2.21 crore. The Indore Bench of NCLT approved the insolvency application in January 2023.
Lenders of the company has submitted claims of around Rs 28.9 crore, majority of which were statutory dues (Rs 26 crore). The insolvency professional — Gonugunta Madhusudhan Rao – however, did not admit any of the Rs 26 crore claims submitted as government dues. The total admitted claims, therefore, was just over Rs 2.5 crore.
Midland Polymers is a BSE-listed firm with total turnover of Rs around 30-40 lakh (FY17 figs). The company was into the trading of packaging materials.
