Zee enters into a one-time settlement with Standard Chartered for credit facility availed by Siti Networks

Zee Entertainment Enterprises Ltd (ZEEL) has entered right into a one-time agreement settlement with Standard Chartered Bank for the mortgage taken via way of means of Siti Networks, part of the Essel Group.

Standard Chartered Bank had sanctioned sure credit score centers to Siti Networks, which turned into inter-alia secured via way of means of DSRA (Debt Service Reserve Account) help and assignment from ZEEL.

"Since the Borrower has defaulted in its debt compensation responsibilities to the Bank, the Company has entered right into a one-time agreement settlement with the Bank in recognize of DSRA Claims/Undertaking withinside the hobby of amicably resolving the problems among the events," stated ZEEL in a regulatory submitting on Thursday.

Though the company, that's merging with rival Culver Max Entertainment Pvt Ltd, previously called Sony Pictures Networks India, has now no longer noted the amount.

Siti Networks, previously called Wire and Wireless Ltd, is a multisystem operator promoted via way of means of media baron Subhash Chandra-led Essel Group.

Earlier this week, ZEEL introduced settling its dispute and claims with IndusInd Bank.

The be counted pertained to a default in bills via way of means of Essel Group`s multisystem operator arm Siti Networks. ZEEL turned into a guarantor to the loans taken via way of means of Siti Networks.

In February closing year, IndusInd Bank filed a plea earlier than the Mumbai bench of NCLT to provoke insolvency court cases towards ZEEL claiming that the media and amusement corporation defaulted Rs 83.08 crore.

The NCLT had admitted the plea and had directed to provoke insolvency court cases via way of means of appointing an period in-between decision expert for ZEEL.

Later, ZEEL Managing Director and Chief Executive Puneet Goenka moved the appellate tribunal NCLAT tough the order of NCLT.

The National Company Law Appellate Tribunal (NCLNCLAT stayed the court cases on February 24 this year.

On March 29, NCLAT turned into knowledgeable approximately the agreement via way of means of each events.

"It is submitted that as in line with agreement settlement, sure bills/responsibilities were undertaken which will be cleared as much as June 30, 2023, or inside seven days of the sanction of the scheme whichever is earlier," the NCLAT order mentioned on March 29.

"It is in addition submitted that events have additionally agreed that during view of the agreement, the scheme that's pending attention in NCLT, Mumbai will be taken into consideration on its personal deserves with out this enchantment being any obstacle in determining the scheme and the Respondent (Indusind Bank) and the Respondent shall withdraw the objection filed to the scheme," NCLAT recorded.

The settlement among the events additionally incorporates a category of effects of termination, it added.

This is a primary breather for ZEEL, merging with Culver Max Entertainment, a good way to create India's largest media empire. It has already obtained approval from fundamental stakeholders and regulators inclusive of the honest exchange regulator CCI.