Bankruptcy case of Ambani's RCom which owes Rs 50K cr to banks: Next hearing on May 30

Agencies
May 12, 2019

Mumbai, May 12: The National Company Law TribunalThursday allowed Reliance Communications (RCom) to exclude the 357 days spent in litigation and admitted it for insolvency.

With this, RCom, which owes over Rs 50,000 crore to banks, has become the first Anil Ambani group company to be officially declared bankrupt after the NCLT Thursday superseded its board and appointed a new resolution professional to run it and also allow the SBI-led consortium of 31 banks to form a committee of creditors.

At the last hearing, RCom, through the existing resolution professional, had sought 357 days (from May 30, 2018 to April 30, 2019) exclusion in the insolvency process citing the stays it had on the process by the appellate tribunal and the Supreme Court.

The RP sought the exclusion from May 30, 2018 to April 30, 2019 as the initial insolvency proceedings was stayed by the National Company Law Appellate Tribunal (NCLAT) and later by the apex court.

A bench comprising VP Singh and R Duraisamy said the matter should proceed in a manner of law and in view of the guidelines, the tribunal grants the exclusion of time for Reliance Infratel and Reliance Telecom along with RCom.

RCom was in trouble for years forcing it to discontinue operations two years ago. Its effort to stave off bankruptcy by selling spectrum to Reliance Jio got scuttled after legal and government delays for approvals. But it could not meet any of the several publicly made promises to pay back the lenders by monetising real estate and spectrum assets.

Last month company chairman Anil Ambani managed to avoid a contempt of the Supreme Court and a possible jail term after a last-minute bailout by elder brother Mukesh who extended him over Rs 480 crore to pay back vendor Ericsson, which was the first operational creditor to drag it to NCLT.

Ericsson took the company to NCLT in September 2017 for non-payment of over Rs 1,500 crore dues. Finally they agreed for a Rs 550 crore settlement. 

Earlier, China Development Bank from which RCom had borrowed over USD 1 billion, had dragged it to NCLT which was settled after giving a portion of its headquarters DAKC in the nearby Navi Mumbai.

On May 3, SBI held a meeting to shortlist an RP after issuing a request for proposal in April for a new RP. RCom's committee of creditors will have to approve a new RP with a 66 percent vote after the NCLT starts the insolvency process. 

The Mumbai bench on May 7, also had directed the existing RP to file a progress report by May 30 when it will hear the matter.

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News Network
April 20,2020

Thiruvananthapuram, Apr 20:  Kerala Chief Minister Pinarayi Vijayan on Monday said that the government would revoke the order, which allowed the opening of barbershops and restaurants in the State.

The development comes after the Ministry of Home Affairs (MHA) objected to the move.
When asked about the letter issued by the MHA terming certain decisions as to the dilution of guidelines, Chief Minister Vijayan said: "There is no confrontation between the State government and the Centre."

"Kerala is following all directions issued by the Centre. Barbershops will not be opened and restaurants will only provide online delivery," he told the reporters, adding that public transport would not be allowed.

"There was a decision to open barbershops but many experts have pointed out against the decision. So the Kerala government is withdrawing the decision," he said.

Earlier, Chief Secretary Tom Jose said that if needed, then the State government will make necessary modifications to the lockdown guidelines in the wake of a communication received from the Central government.

The MHA had objected to the decision of Kerala government to allow services like barbershops, local workshops, restaurants, etc., and had urged the State government to revise its lockdown guidelines.

The Government of India had said that violation to lockdown measures reported posed a serious health hazard to the public and risk the spread of COVID-19.

Union Home Secretary Ajay Bhalla wrote to all Chief Secretaries and a separate letter had been sent to the Kerala Chief Secretary asking them not to dilute lockdown guidelines in any manner.

In his letter to the Kerala Chief Secretary, Bhalla had stated that the consolidated revised guidelines on the measures to be taken by the Ministries/Departments of the Government of India has been circulated on April 15 for containment of COVID-19.

Kerala Minister Kadakampally Surendran had said that relaxations have been given abiding by the direction issued by the Central government. He had added that the Centre may have asked for an explanation due to some misunderstanding.

India is under a nation-wide lockdown that came into force on March 25 to contain the spread of coronavirus, which has claimed 559 lives in the country. Last week, Prime Minister Narendra Modi announced the extension of lockdown till May 3.

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News Network
June 27,2020

Jun 27: Alittle-known Indian IT firm offered its hacking services to help clients spy on more than 10,000 email accounts over a period of seven years.

New Delhi-based BellTroX InfoTech Services targeted government officials in Europe, gambling tycoons in the Bahamas, and well-known investors in the United States including private equity giant KKR and short seller Muddy Waters, according to three former employees, outside researchers, and a trail of online evidence.

Aspects of BellTroX's hacking spree aimed at American targets are currently under investigation by U.S. law enforcement, five people familiar with the matter told Reuters. The U.S. Department of Justice declined to comment.

Reuters does not know the identity of BellTroX's clients. In a telephone interview, the company's owner, Sumit Gupta, declined to disclose who had hired him and denied any wrongdoing.

Muddy Waters founder Carson Block said he was "disappointed, but not surprised, to learn that we were likely targeted for hacking by a client of BellTroX." KKR declined to comment.

Researchers at internet watchdog group Citizen Lab, who spent more than two years mapping out the infrastructure used by the hackers, released a report that BellTroX employees were behind the espionage campaign.

"This is one of the largest spy-for-hire operations ever exposed," said Citizen Lab researcher John Scott-Railton.

Although they receive a fraction of the attention devoted to state-sponsored espionage groups or headline-grabbing heists, "cyber mercenary" services are widely used, he said. "Our investigation found that no sector is immune."

A cache of data reviewed by Reuters provides insight into the operation, detailing tens of thousands of malicious messages designed to trick victims into giving up their passwords that were sent by BellTroX between 2013 and 2020. The data was supplied on condition of anonymity by online service providers used by the hackers after Reuters alerted the firms to unusual patterns of activity on their platforms.

The data is effectively a digital hit list showing who was targeted and when. Reuters validated the data by checking it against emails received by the targets.

On the list: judges in South Africa, politicians in Mexico, lawyers in France and environmental groups in the United States. These dozens of people, among the thousands targeted by BellTroX, did not respond to messages or declined comment.

Reuters was not able to establish how many of the hacking attempts were successful.

BellTroX's Gupta was charged in a 2015 hacking case in which two U.S. private investigators admitted to paying him to hack the accounts of marketing executives. Gupta was declared a fugitive in 2017, although the U.S. Justice Department declined to comment on the current status of the case or whether an extradition request had been issued.

Speaking by phone from his home in New Delhi, Gupta denied hacking and said he had never been contacted by law enforcement. He said he had only ever helped private investigators download messages from email inboxes after they provided him with login details.

"I didn't help them access anything, I just helped them with downloading the mails and they provided me all the details," he told Reuters. "I am not aware how they got these details but I was just helping them with the technical support."

Reuters could not determine why the private investigators might need Gupta to download emails. Gupta did not return follow-up messages. Spokesmen for Delhi police and India's foreign ministry did not respond to requests for comment.

HOROSCOPES AND PORNOGRAPHY

Operating from a small room above a shuttered tea stall in a west-Delhi retail complex, BellTroX bombarded its targets with tens of thousands of malicious emails, according to the data reviewed by Reuters. Some messages would imitate colleagues or relatives; others posed as Facebook login requests or graphic notifications to unsubscribe from pornography websites.

Fahmi Quadir's New York-based short selling firm Safkhet Capital was among 17 investment companies targeted by BellTroX between 2017 and 2019. She said she noticed a surge in suspicious emails in early 2018, shortly after she launched her fund.

Initially "it didn't seem necessarily malicious," Quadir said. "It was just horoscopes; then it escalated to pornography."

Eventually the hackers upped their game, sending her credible-sounding messages that looked like they came from her coworkers, other short sellers or members of her family. "They were even trying to emulate my sister," Quadir said, adding that she believes the attacks were unsuccessful.

U.S. advocacy groups were also repeatedly targeted. Among them were digital rights organizations Free Press and Fight for the Future, both of whom have lobbied for net neutrality. The groups said a small number of employee accounts were compromised, but the wider organizations' networks were untouched. The spying on those groups was detailed in a report by the Electronic Frontier Foundation in 2017, but has not been publicly tied to BellTroX until now.

Timothy Karr, a director at Free Press, said his organization "sees an uptick in breach attempts whenever we're engaged in heated and high-profile public policy debates." Evan Greer, deputy director of Fight for the Future, said: "When corporations and politicians can hire digital mercenaries to target civil society advocates, it undermines our democratic process."

While Reuters was not able to establish who hired BellTroX to carry out the hacking, two former employees said the company and others like it were usually contracted by private investigators on behalf of business rivals or political opponents.

Bart Santos of San Diego-based Bulldog Investigations was one of a dozen private detectives in the United States and Europe who told Reuters they had received unsolicited advertisements for hacking services out of India - including one from a person who described himself as a former BellTroX employee. The pitch offered to carry out "data penetration" and "email penetration."

Santos said he ignored those overtures, but could understand why some people didn't. "The Indian guys have a reputation for customer service," he said.

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News Network
March 2,2020

New Delhi, Mar 2: The Supreme Court on Monday dismissed a curative petition filed by convict Pawan Kumar Gupta who was sentenced to death in the 2012 Nirbhaya gang rape and murder case.

A five-judge bench headed by Justice N V Ramana said that no case is made out for re-examining the conviction and the punishment of the convict.

Other members of the bench were justices Arun Mishra, R F Nariman, R Banumathi and Ashok Bhushan.

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