OYO bankruptcy Report: NCLAT stays insolvency proceeding against OHHPL, an OYO subsidiary

New Delhi: Big relief for OYO subsidiary-OHHPL after the National Company Law Appellate Tribunal (NCLAT) has now admitted OYO’s plea and ordered a stay against the formation of committee of creditors (COC).

This comes after OHHPL appealed the order in front of NCLAT and explained that a demand draft of INR 16L was issued to the claimant under protest and the claimant has willingly banked the DD.

I am so grateful to everyone for their support on social media since yesterday. Thank you for discouraging misleading news and forwarded msgs. https://t.co/GEx64GzWVf

— Ritesh Agarwal (@riteshagar) April 8, 2021

Taking to Twitter the company Founder and CEO Ritesh Agarwal said, “Today NCLAT has admitted our plea and ordered a stay for the formation of COC in IBC proceedings against OHHPL, an OYO subsidiary. The claimant has already drawn the INR 16 Lakhs which we paid under protest. ”

Closing @riteshagar‘s thread from yesterday – Today NCLAT has admitted our plea and ordered a stay for the formation of COC in IBC proceedings against OHHPL, an OYO subsidiary. The claimant has already drawn the INR 16 Lakhs which we paid under protest. pic.twitter.com/hNkevbWbWs

— OYO (@oyorooms) April 8, 2021

“The NCLAT provided a stay for the formation of COC in IBC proceedings against OHHPL, subsidiary of OYO. OHHPL appealed the order in front of NCLAT and explained that a demand draft of INR 16L was issued to the claimant under protest and the claimant has willingly banked the DD,” OYO said in a statement.

The company Founder and CEO Ritesh Agarwal had refuted the reports about filing bankruptcy on  Wednesday.