ArcelorMittal to pay 42,000 cr for Essar Steel

Global steel major ArcelorMittal on May 20 told the National Company Law Appellate Tribunal (NCLAT) that it would pay Rs 42,000 crore, including a minimum of guarantee of Rs 2,500 crore as working capital, for acquiring debt-laden Essar Steel under the insolvency process. Senior advocate Harish Salve appearing for ArcelorMittal also accused Ruias, former Essar Steel promoters, of creating hurdles in the resolution process of the bankrupt steel maker. According to him, issues related to alleged NPAs of the companies of Lakshmi Mittal's brother have been already dealt with and rejected by the Supreme Court. Salve further submitted that NCLT and lenders would decide over the distribution of funds among the creditors of Essar Steel. The NCLAT would continue to hear the Essar Steel insolvency case on May 21.