Yatra subsidiary settles insolvency case with Ezeego Travels

Yatra Online Limited announced that its subsidiary, TSI Yatra Private Limited (TSI), has entered into a settlement agreement with Ezeego Travels & Tours Ltd., resolving the Corporate Insolvency Resolution Process (CIRP) initiated against TSI. This follows an order by the National Company Law Tribunal (NCLT) and a subsequent stay by the National Company Law Appellate Tribunal (NCLAT).

The settlement involves a payment of INR 5,00,00,000 as the settlement amount, plus CIRP costs of INR 6,25,400. This payment was made to Ezeego to resolve all issues related to the NCLT petition and NCLAT appeal, conditional on Ezeego withdrawing the IBC proceedings against TSI.

To finalize the settlement, both parties will undertake necessary filings with the NCLT and/or NCLAT, including disposing of the appeal and ensuring the return of the INR 4,03,19,100 fixed deposit made previously to the Registrar, NCLAT. The settlement also entails the withdrawal of the CIRP of TSI and the original petition filed against it. Yatra stated that this settlement has no further impact on its financial statements, as the amount was provisioned earlier.