IBC Cases Weekly Round-Up: 22nd August To 29th August 2022

NCLAT Once Dissolution Application Is Filed After Liquidation, Adjudicating Authority Has No Discretion :NCLAT Delhi Case Title: Sudhir Kumar Goel & Ors. v M/s Shashi Oils and Fats Pvt. Ltd. & Ors. Case No.: Company Appeal (AT) (Ins) No. 676 of 2021 The National Company Law Appellate Tribunal ("NCLAT"), Principal Bench, comprising of Justice Rakesh Kumar (Judicial...

Section 10A Is Not Applicable To Proceedings Against Personal Guarantors Under Insolvency & Bankruptcy Code, 2016: NCLAT New Delhi

The National Company Law Appellate Tribunal, New Delhi bench comprising of Justice Ashok Bhushan and Justice M Satyanarayan Murthy, Mr. Barun Mitra recently held that Section 10A of the Insolvency & Bankruptcy Code , 2016 is not applicable to proceedings against the personal guarantors under Section 95 of the Code. Brief Facts The Financial Creditor Siemens Financial Services...

Litigation Of Government Is Not Looked After As It Should Be: NCLAT New Delhi

The National Company Law Appellate Tribunal, New Delhi bench comprising of Justice Rakesh Jain and Dr. Alok Srivastava while dismissing an appeal field by the Rajasthan Drugs and Pharmaceuticals Ltd. expressed its displeasure as to how the litigation of the Government is not looked after the way as it should have been. The Bench was hearing the appeal filed by the Rajasthan...

IBBI Suspends Deloitte Partner's IP Registration For 3 Years And Imposes Penalty

The Disciplinary Committee of the Insolvency and Bankruptcy Board of India ("IBBI") has suspended the registration of Insolvency Professional, Mr. Savan Godiawala, for a period of three years and has also imposed a penalty of amount equivalent to payments made to Deloitte Touche Tohmatsu India LLP after 23.07.2019 till now. Brief Background Mr. Savan Godiawala is a Professional...

Insolvency And Bankruptcy Code Will Prevail Over Customs Act Once Moratorium Is Declared: Supreme Court

The Supreme Court had held that the Insolvency and Bankruptcy Code (IBC) will prevail over the Customs Act. The bench comprising Chief Justice N.V. Ramana, Justices JK Maheshwari and Hima Kohli observed that the customs authority can only determine the quantum of duties and levies but cannot initiate recovery proceedings.While pronouncing the judgement, CJI Ramana stated that once...

NCLT Hyderabad Bench Re-Constituted, Matters To Be Heard Through Video Conferencing

NCLT Hyderabad Bench Re-Constituted, Matters To Be Heard Through Video Conferencing The National Company Law Tribunal, Hyderabad Bench, has been re-constituted vide a Circular dated 24.08.2022, issued by NCLT as per Section 419(3) of the Companies Act, 2013. The new NCLT Hyderabad Bench shall comprise of: NCLT Hyderabad, Court Room No. 2 (Second Half) Dr....

NCLT New Delhi Bench Re-Constituted, Matters To Be Heard Through Video Conferencing

The National Company Law Tribunal, New Delhi Bench, has been re-constituted vide a Circular dated 24.08.2022, issued by NCLT as per Section 419(3) of the Companies Act, 2013. The new NCLT New Delhi Bench shall comprise of: NCLT New Delhi, Court Room No. 3 (Second Half) Shri Bachu Venkat Balaram Das (Judicial Member)Dr. Binod Kumar Sinha (Technical Member) NCLT New Delhi,...

Investment Made By Director Of A Company Is Not An Operational Debt: NCLT Kolkata

The National Company Law Tribunal ("NCLT"), Kolkata Bench, comprising of Shri Rohit Kapoor ("Judicial Member") and Shri Harish Chander Suri (Technical Member), while adjudicating a petition filed in Akshat Pandey v Avighna Films Private Limited, has held that an investment made by the Director of a Company does not fall under the purview of an Operational Debt under the...

Tribunal Cannot Interfere With Decision Of COC To Replace Resolution Professional : NCLAT Chennai

The National Company Law Appellate Tribunal ("NCLAT"), Chennai Bench, comprising of Justice M. Venugopal (Judicial Member) and Mr. Kanthi Narahari (Technical Member), while adjudicating an appeal in M/s IDBI Bank Limited v C.J. Davis, had set aside the Adjudicating Authority's order disallowing the Committee of Creditors ("CoC") to replace the Resolution Professional under Section...

Does Limitation Period For Filing Appeal Applies To Period For Curing Defects?: NCLAT Refers Question To Larger Bench

The National Company Law Appellate Tribunal ("NCLAT"), Principal Bench, comprising of Justice Ashok Bhushan (Chairperson), Justice N Satyanarayana Murthy (Judicial Member) and Mr. Barun Mitra (Technical Member), while adjudicating in an appeal filed in Mr. V R Ashok Rao v TDT Copper Limited, has observed that issue of delay in refilling of appeal is often coming before the NCLAT Bench...

On A Request Made By CoC, NCLT Is Empowered To Remand Back Resolution Plan To CoC For Re-Consideration: NCLT Ahmedabad

The National Company Law Tribunal ("NCLT"), Mumbai Bench, comprising of Dr. Deepti Mukesh (Judicial Member) and Shri Ajai Das Mehrotra (Technical Member), while adjudicating an application filed in Asset Reconstruction Company (India) Limited v GPT Steel Industries Ltd., has held that Adjudicating Authority has right to send back the resolution plan for reconsideration to the CoC, on...

Insolvency Plea Against Kishore Biyani Led Future Enterprises Ltd., NCLT Mumbai Issues Notice

The National Company Law Tribunal ("NCLT"), Mumbai Bench, comprising of Shri H.V. Subba Rao (Judicial Member) and Smt. Anuradha Sanjay Bhatia (Technical Member), while adjudicating a petition filed in Foresight Innovations Pvt. Ltd. v Future Enterprises Ltd., has issued notice to Future Enterprises Ltd. in a petition under Section 9 of the Insolvency and Bankruptcy Code, 2016 ("IBC")...