IBC News
Mere Recording Of Transaction As 'Inter-Corporate Deposit' In Balance Sheets Insufficient To Prove Financial Debt : NCLT Principal Bench
The National Company Law Tribunal Principal Bench, New Delhi of Chief Justice (Retd.) Ramalingam Sudhakar (President) and Avinash K. Srivastava (Technical Member) has held that mere recording of the transaction as “Inter-Corporate Deposit” in balance sheets is insufficient to establish it as financial debt without supporting documentation. The bench noted that the an...
Applications Under Sections 7, 9, Or 10 Of IBC Filed Before 2021 Amendment Act Retain Priority: NCLAT Principal Bench
The National Company Law Appellate Tribunal, Principal Bench, New Delhi of Justice Rakesh Kumar Jain (Judicial Member), Naresh Salecha (Technical Member) and Indevar Pandey (Technical Member) has held that if an application under Sections 7, 9, or 10 of the Insolvency and Bankruptcy Code was already in process before 2021 Amendment Act came into force, then the amendments in Section...
Justice Sharad Kumar Sharma Recuses Himself From Byju Raveendran's Insolvency Appeal Due To Conflict Of Interest
Justice Sharad Kumar Sharma, a Judicial Member of the National Company Law Appellate Tribunal (NCLAT) Chennai, has recused himself from hearing Byju Raveendran's appeal against the insolvency proceedings initiated against Think & Learn Private Limited, which operates Byju's. Justice Sharma stated his prior role as senior counsel for the Board of Control for Cricket in India...
Consolidated Insolvency Resolution Process Could Be Initiated Against Joint-Developers Of Project: NCLT Delhi
The National Company Law Tribunal VI, New Delhi bench of Shri Mahendra Khandelwal (Judicial Member) and Shri Rahul Bhatnagar (Technical Member) held that a joint insolvency resolution process against multiple entities who were involved in the development of the same construction project is recognized and could be initiated under the Insolvency and Bankruptcy Code,...
Resolution Applicant Whose Name Was Not Included In 'Prospective Resolution Applicants' List Cannot Be Substituted At Later Stage: NCLAT, Delhi
The National Company Law Appellate Tribunal (NCLAT), Delhi bench of Justice Ashok Bhushan (Chairperson) and Mr Barun Mitra (Technical Member) held that a resolution applicant, who did not take part in the CIRP process from the beginning and was not included in the list of prospective resolution applicants, cannot be suddenly substituted as a resolution applicant to implement the plan of...
IBC | CIRP Of Holding Company Cannot Include Subsidiary's Assets: Supreme Court
The Supreme Court on Monday (July 23) held that a holding company is not the owner of its subsidiary's assets and thus, subsidiary assets cannot be included in the holding company's resolution plan.A bench of Justice Abhay Oka and Justice Pankaj Mithal dismissed an appeal filed by a Successful Resolution Applicant of a Corporate Guarantor against NCLT's decision to admit Financial...
Insolvency Professional Entities Qualified To Be Appointed As Resolution Professionals: NCLT Mumbai
The National Company Law Tribunal, Mumbai bench of Shri Sanjiv Dutt (Technical Member) and Shri K.R. Saji Kumar (Judicial Member), held that Insolvency Professional Entities (IPEs) are qualified to be appointed as Resolution Professionals (RPs) under the Insolvency and Bankruptcy Code, 2016. The NCLT held that the Insolvency and Bankruptcy Board of India (IBBI) has the authority...
Insolvency Resolution Of Corporate Guarantor Won't Bar Creditor From Filing CIRP Against Corporate Debtor For Balance Debt : Supreme Court
In a notable decision relating to the Insolvency & Bankruptcy Code of 2016, the Supreme Court held when that the insolvency resolution of a corporate guarantor will not prevent the creditor from initiating another insolvency process against the corporate debtor for the balance debt.The Court clarified that the insolvency resolution of the corporate guarantor will not result in the...
Electricity Being Essential Service Needs To Be Continued During CIRP Period, NCLAT Delhi Upholds RP's Decision To Increase Maintenance Charges
While upholding the Resolution Professional (RP) decision to increase the maintenance charges for homebuyers of the Corporate Debtor to cover electricity bills and dues, the National Company Law Appellate Tribunal (Appellant Tribunal) Delhi, comprising Justice Ashok Bhushan (Chairperson), Mr. Barun Mitra (Technical Member), and Mr. Arun Baroka (Technical Member), held that...
NCLAT Delhi - RP Not Liable For Payments Made To 103 Employees Responsible For Preserving And Managing Operations Of Jet Airways
The National Company Law Appellate Tribunal (Appellete Tribunal) Delhi, comprising Mr. Justice Ashok Bhushan (Chairperson) and Mr. Barun Mitra (Technical Member), held that the Resolution Professional is not personally liable for the lump sum payments made to the 103 employees who were part of the Asset Preservation Team (APT) responsible for preserving and managing the operations of...
Weekly Digest Of IBC Cases: 08th July 2024 To 15th July 2024
HIGH COURT Mere Initiation Of Arbitration Proceedings Doesn't Bar Corporate Debtor From Pursing Remedies Under IBC: Delhi High Court Allows Section 11(6) Petition Case Title: Pitambar Solvex Pvt Ltd And Anr. vs. Manju Sharma And Ors. Case No.: ARB.P. 212/2024, I.A. 9821/2024 The Delhi High Court bench of Justice Neena Bansal Krishna held that mere initiation of the...
NCLT Bengaluru Admits BCCI's Insolvency Plea Against Think And Learn Pvt. Ltd. With Default Of Rs. 158 Crores
The National Company Law Tribunal (“NCLT”) Bengaluru bench comprising Justice K. Biswal (Judicial Member) and Mr. Manoj Kumar Dubey (Technical Member) admitted the Board of Control for Cricket in India's (“BCCI”) petition for Corporate Insolvency Resolution Process (“CIRP”) against Think & Learn Private Limited (Corporate Debtor) under Section 9 of Insolvency and...