Sunrise Radio owner, Avtar Lit has been declared bankrupt at the High Court in London this morning.
This brings to end years of legal wrangling between Lit and Geeta Kohli, who was the founder director and shareholder of Sunrise Radio Ltd. At the court, Lit made submissions to the court that the petition should be adjourned again to allow a meeting of his creditors to be held to consider a proposal he had finalised that morning seeking an arrangement with all his creditors to avoid Bankruptcy, called an Individual Voluntary Arrangement or IVA. A barrister representing the Insolvency Practitioner who would supervise any such IVA also made submissions to that effect.
Miss Kohli�۪s solicitor, Mark Rondel of EMW Law LLP submitted that both Ms Kohli and the other creditors he represented would oppose any IVA. Similar submissions were also made by a Barrister representing another creditor. On the basis that the creditors who opposed any IVA were sufficient in number to block any vote for an IVA the court agreed that any further delay would be futile and so ordered that Mr Lit should be made bankrupt.
It now remains to be seen how this bankruptcy will impact assets such as Sunrise Radio (963AM & 972AM), which Lit is a Director of, along with Mr Gurdev Ram Jassi, Mrs Anita Lit and Mrs. Rajinder Kaur Bajwa.
Lit has recently lost five companies after they fell into administration. Lyca Media has acquired five companies including 1458AM and 1035AM frequencies in the lucrative London market.
Keep it with BizAsia for the latest.