Subhiksha to shut
Madras HC orders to shut down Subhiksha.March 01, 2012 | comments ( 0 ) |
The Madras High Court has ordered to shut down Subhiksha Trading Services. The order came in response to a winding-up petition filed by Kotak Mahindra Bank, to which Subhiksha owes around Rs 40 crore.
The court also ordered the official liquidator to take over the assets of the 1997-founded Subhiksha and gave the retail chain three weeks’ time to respond.
According to R Subramaniam, founder managing director of city-based Subhiksha, the course of action would be finalised only once the written order is received. Subhiksha had run out of cash in 2008-09 after relying on a high level of debt. Problems arose in 2008, when it started receiving legal notices for outstanding payment. In January 2009, the retail chain was forced to shut down more than 1,600 retail shops after it went into a cash crunch and defaulted to the tune of around Rs 750 crore to 13 banks.
- Amazon to invest 220 crore more in Amazon Pay
- Gap Inc. accelerates digital transformation with Microsoft Cloud
- Casa Buzallong launches its first store in Vadodara
- Raymond is now present across 500 towns in India with a dedicated retail chain footprint
- Tribhovan das BhimjiZaveri launches first store in Punjab
- ABFRL reports Q2 net profit of Rs 43 crore
- Arvind Q2 profit rises 16% to Rs 75 crore
- Croma gets Rs 250 cr funding from Tata Sons
- Samsung Electronics record profit Q3 despite smartphone struggles
- LOTS Wholesale Solutions expands its footprint in India