Income Tax Dues Are Government Dues; Income Tax Authority Is A Secured Creditor: NCLAT Delhi

The National Company Law Appellate Tribunal (“NCLAT”), New Delhi Bench, comprising of Justice Anant Bijay Singh (Judicial Member) and Mr. Barun Mitra (Technical Member), while adjudicating an appeal filed in Principal Commissioner of Income Tax & Anr. v M/s Assam Company India Ltd., has held that the dues of the Income Tax dues are Government dues and Income Tax Authorities...

Liquidator Has No Jurisdiction To Reject/Modify Already Admitted Claims, Can Approach AA For Modification: NCLAT Delhi

The National Company Law Appellate Tribunal (“NCLAT”), New Delhi Bench, comprising of Justice Rakesh Kumar Jain (Judicial Member) and Mr. Naresh Salecha (Technical Member), while adjudicating an appeal filed in Vijay Kumar Gupta v Canara Bank, has held that the Liquidator has no jurisdiction to reject or modify already admitted claims, if he receives any additional information....

Borrowers Pays Full Compromise Amount: Allahabad High Court Directs Bank To Reconsider Wilful Default

The Allahabad High Court Bench, comprising of Justice Manoj Kumar Gupta and Justice Vikram D. Chauhan, while adjudicating a petition filed in Konarkagro Polytech Pvt. Ltd. & Ors. v Bank of Baroda & Ors., has directed the Bank to re-consider its decision of declaring the Borrowers (Petitioners) as wilful defaulters, as a One Time Settlement (OTS) was subsequently entered between the Bank and Borrowers and full compromise amount has been towards the Petitioner Company’s accounts....

Section 9 IBC Application Not A Suit, Hence Bar U/S 69(2) Of Partnership Act Not Attracted: NCLAT Delhi

The National Company Law Appellate Tribunal (“NCLAT”), Principal Bench, comprising of Justice Ashok Bhushan (Chairperson) and Mr. Barun Mitra (Technical Member), while adjudicating an appeal filed in Rourkela Steel Syndicate v Metistech Fabricators Pvt. Ltd., has held that an application under Section 9 of IBC is not a suit and hence, the bar under Section 69(2) of...

Partial Payment Of PF & Gratuity Dues Violative Of Section 30(2)(E) Of IBC: NCLAT Chennai Reiterates

The National Company Law Appellate Tribunal (“NCLAT”), Chennai Bench, comprising of Justice M. Venugopal (Judicial Member) and Ms. Shreesha Merla (Technical Member), while adjudicating an appeal filed in Mrs. C.G. Vijyalakshmi v Shri Kumar Rajan & Ors., has held that Provident Fund and Gratuity dues have to be paid in full to the workmen/employees till the CIRP commencement...

NCLT Ahmedabad Bench Re-Constituted W.E.F 15th FEBRUry 2023

The National Company Law Tribunal, Ahmedabad Bench, has been re-constituted vide a Circular dated 09.02.2023 issued by NCLT. Dr. Deepti Mukesh (Judicial Member) of NCLT Ahmedabad Bench (Court No. II) is demitting office on 14.02.2023 on completion of her tenure. Therefore, the Bench is being re-constituted to take up the matters listed before Dr. Deepti Mukesh (Judicial Member) and...

Weekly Digest Of IBC Cases: 6 February To 12 February 2023

NCLAT Assets Of Subsidiary Company Cannot Be Dealt With In CIRP Of Holding Company: NCLATDelhi Case Title: Greater Noida Industrial Development Authority (GNIDA) v Roma Unicon Designex Consortium Case No.: Company Appeal (AT) (Insolvency) No. 180 of 2022 The National Company Law Appellate Tribunal (“NCLAT”), Principal Bench, comprising of Justice Ashok Bhushan...

NCLT Invites Applications For Law Research Associates At Various Benches

The National Company Law Tribunal has issued a notification dated 19.01.2023, inviting applications for the position of Law Research Associate at various benches of NCLT. At present the vacancies are for NCLT Jaipur, Guwahati, Kolkata, Kochi, Chandigarh, Ahmedabad, Chandigarh, Chennai, Hyderabad, Bengaluru, Allahabad, Indore, Amravati and Cuttack...

Secured Creditors Vis-À-Vis Debt Recovery: A Positive Step

The creation of statutory charges and the subsequent recovery process initiated by the tax department has often clashed with the recovery mechanisms used by secured creditors like banks under the Securitization andReconstruction of Financial Assets and Enforcement of Security Interest Act,2002 (“SARFAESI”) and Recovery of Debts Due toBanks and Financial Institutions Act, 1993 (“RDBA”). The question that lies at the heart of these disputes is which one of the two, the statutory dues or the...

NCLT Hyderabad Invokes Rule 153; Permits Filing Of Rejoinder Post Closure Of Opportunity

The National Company Law Tribunal (“NCLT”), Hyderabad Bench, comprising of Dr. Venkata Ramakrishna Badarinath Nandula (Judicial Member) and Dr. Binod Kumar Sinha (Technical Member), while adjudicating a petition filed in State Bank of India & Ors. v India Power Corporation Limited, invoked its powers under Rule 153 of the NCLT Rules and permitted the Financial Creditor to file...

“Misconceived, Not Maintainable”: NCLAT Delhi Dismisses Appeal Filed By IBBI

The National Company Law Appellate Tribunal (“NCLAT”), Principal Bench, comprising of Justice Rakesh Kumar Jain (Judicial Member) and Mr. Naresh Salecha (Technical Member), while adjudicating an appeal filed in Insolvency & Bankruptcy Board of India v GTL Infrastructure Ltd. & Ors., has dismissed an appeal filed by the Insolvency and Bankruptcy Board of India...

NCLT Mumbai Benches Re-Constituted W.E.F 11th February 2023

The National Company Law Tribunal, Mumbai Bench, has been re-constituted vide a Circular dated 09.02.2023 issued by NCLT. Justice Pradeep Narhari Deshmukh (Judicial Member) of NCLT Mumbai Bench is demitting office on 10.02.2023 on completion of his tenure. Therefore, the Bench is being re-constituted to take up the matters listed before Justice Pradeep Narhari Deshmukh...