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Zee-Sony Merger: Zee Entertainment’s woes show no sign of abating. Now the NCLT decision regarding the Zee Entertainment-Sony Pictures merger has been challenged in the NCLAT. This challenge has been given by Axis Finance. Recently IDBI Bank also approached NCLAT to challenge this decision.
What was the decision?: The Mumbai bench of the National Company Law Tribunal i.e. NCLT on August 10 cleared the overall merger plan between Zee-Sony and Sony’s subsidiary Bangla Entertainment. Along with this, the NCLT rejected the objections raised by several creditors of Zee Entertainment, including IDBI Trusteeship, IDBI Bank, Axis Finance, JC Flowers Asset Reconstruction Company and IMAX Corp. Now this order has been challenged before NCLAT.
In August 2023, the Bombay High Court dismissed a plea filed by Axis Finance to include Zee, Essel Mauritius and Sony in its lawsuit against Zee Entertainment promoter Subhash Chandra and others. The company was trying to recover Rs 146 crore from Subhash Chandra.
IDBI Bank is also fighting another case against Zee Entertainment before NCLAT, in which the Appellate Tribunal has issued a notice to the entertainment firm headed by Subhash Chandra’s family.