The top court set aside the orders of the National Company Law Appellate Tribunal (NCLAT) and the National Company Law Tribunal (NCLT), which had previously stripped a consortium of Indian banks led by SBI of their status as financial creditors.
The case arose during the Corporate Insolvency Resolution Process (CIRP) of Reliance Infratel Limited (RITL).
An SBI-led consortium, including Bank of India, UCO Bank, Syndicate Bank, Oriental Bank of Commerce, and Indian Overseas Bank, had claimed over Rs 3,628 crore based on corporate guarantees executed by RITL to secure loans for its group entities, RCOM and RTL.