REQUEST to Securities & Exchange Board of India (SEBI) and Ministry of Corporate Affairs (MCA)

References:

A.    NCLT Order dated 06.05.2020 on Miscellaneous Application No. 1750 of 2019 in CP 2054 (MB) of 2018 on Uttam Value Steels Ltd.

B.    My following complaints to SCORES (SEBI):

• SEBIE/MH20/22211/D/1 dt. 13.05.2020
• SEBIE/MH20/0005334/1 dt. 13.05.2020
• SEBIE/MH20/0006915/1 dt. 11.07.2020
• SEBIE/MH20/0008709/1 dt. 24.08.2020
• SEBIE/MH20/0012065/1 dt. 06.10.2020

C.    My following complaint to Ministry of Corporate Affairs (MCA):

• SRN - J00052070 dt. 13.05.2020.

D.    Mails received to my mail ID from Registrar of UVSL – M/s. Bigshare Services Pvt Ltd, Mumbai – 400059.

E.    Corporate Insolvency Resolution Process (CIRP) letter from UVSL dated 23.10.2020.

 

Dear All concerned,

This is pertaining to NCLT RP order dt. 06.05.2020 on Uttam Value Steels Ltd.

I raised query on the ambiguity in the referred NCLT order through above modes of referred complaints for which I have not got clear reply from any authorities, even after raising more than 7 complaints to relevant authorities.

My query was "clarification on point no.21 of Resolution Plan".  It is having the ambiguity in its contents itself.

The contents of Point no.21 of NCLT order (which is published under "Uttam Value Steels Ltd."):

As in the case of Metallics, the Applicant issued a Certificate dated 21.04.2019 certifying the compliance u/s 29A of the Code, and the RP has also issued Compliance Report dated 21.04.2019 in relation to the resolution plan submitted by the Resolution Applicant. It has also been further stated that this plan would be implemented through a Special Purpose Vehicle incorporated for this purpose. Subsequent thereto, the Corporate Debtor will undertake capital reduction, whereby all the equity shareholders and the preference shares of the Corporate Debtor shall stand cancelled without any pay out. The face value of the equity shares shall be transferred to the capital reserve of the Corporate Debtor.

The interpretation of the above paragraph is ambiguous as it is published under "Uttam Value Steel Ltd" but the point no.21 starts with "As in the case of Metallics....."

If the point is for "Uttam Value Steels Ltd", then the start of sentence "As in the case of Metallics........" is wrong.

If the point is for "Uttam Galva Metallics Ltd", then the categorization under "Uttam Value Steel Ltd" is wrong.

In the reference no. E cited above, it was mentioned that the “Company shall be delisted”.  The entire retail shareholders community are in shock and they are taking available measures for legal protection on the same.   Also, DELISTING without pay-out to retail shareholders will lead loosing confidence to invest in Indian Companies.

Moreover, the retail investors have not been given any public notification and time to take decision on “whether they wish to continue with holding the company shares or not”.

Therefore, the concerned authorities, SEBI, UVSL, MCA are hereby requested to stop the delisting process of UVSL and take the decision keeping the interest of retail shareholders who have invested their hard-earned money in this company.

Regards.