The committee of creditors of bankrupt Essar Steel argued before the Ahmedabad bench of the National Company Law Tribunal that the settlement offer made by the company’s existing promoter group was not “maintainable” and should be dismissed.

The bench, which started hearing the application of the CoC seeking approval of the resolution plan submitted by ArcelorMittal India on Wednesday, adjourned the hearing and posted it for December 10 because of lack of bench strength.

The Ruia family, the existing promoters of ESIL, has filed an application challenging the CoC decision to award the company to AMIPL, and has offered Rs 54,389 crore to make full and final settlement to all class of creditors — financial (secured and unsecured) and operational.

Ravi Kadam, senior advocate arguing for the CoC, asked for a day-to-day hearing of the case. However, Harihar Prakash Chaturvedi, judicial member of the bench, pointed out that Manorama Kumari, another member of the bench was on leave and hence decided to hear the matter from December.

The lawyer for ESIL’s resolution professional said Numetal had not paid its dues according to the direction of the Supreme Court.

Numetal was found ineligible to bid for ESIL because of the looming presence of Rewant Ruia, son of Essar promoter Ravi Ruia. The Supreme Court had asked Numetal to clear all dues connected with it to be eligible to bid.

Senior counsel Abhishek Manu Singhvi, arguing on behalf of AMIPL, informed the tribunal that his client had been issued the letter of intent by lenders for sale of Essar.

ArcelorMittal offered to pay Rs 42,202 crore to banks under the resolution plan. It also paid Rs 7,500 crore due to two NPA companies associated with it according to the SC order.

Following the Supreme Court judgment, the CoC had accepted Mittal’s offer and submitted before NCLT for approval. However, banks’ wait to recover money could be longer as several applications opposing the offer have been filed before the tribunal.

Close to 30 operational creditors have challenged the plan before the tribunal. There are over 1,600 OCs whose claims worth Rs 4,976 crore have been admitted by the RP of Essar Steel. The AMIPL plan, submitted by AMIPL and approved by the CoC, offers a measly sum of Rs 196 crore to them.

Standard Chartered Bank, who was part of CoC and did not vote for AMIPL plan, also challenged the offer as it is getting only a fraction of the principal amount of Rs 2646 crore.

Moreover, the resolution professional for GPI Textile also challenged the plan claiming that AMIPL has to clear due Pramod Mittal, brother of main shareholder of AMIPL, owed to the company.