Dhoot moves SC seeking inclusion of foreign oil assets in Videocon insolvency process

Videocon Group's former chairman and managing director Venugopal N Dhoot has moved the Supreme Court seeking inclusion of the foreign oil and gas assets of various Videocon entities in the insolvency process of Videocon Industries (VIL), a plea rejected by the National Company Law Appellate Tribunal (NCLAT) last week.

The appeal filed this week is yet to be listed for hearing before the SC.

Dhoot has sought that all foreign assets, properties, rights, and claims of Videocon Oil Ventures (VOV), Videocon Hydrocarbon Holdings, Videocon Energy Brasil, and Videocon Indonesia Nunkan Inc be included as assets and properties of VIL for insolvency resolution purposes.


Dismissing Dhoot's challenge, the NCLAT held that bringing the foreign assets into the Videocon Industries insolvency process would amount to interference with the commercial wisdom exercised by the Committee of Creditors, which argued that VIL's insolvency would erode the value of other companies' assets.

VIL and VOV underwent separate insolvency proceedings, even as their creditors intended the processes to run independently, the NCLAT said, adding that VIL and VOV operate in different businesses - the former in consumer electronics and the latter in oil and gas - and a single entity would not have the expertise to revive such varied operations.