Supreme Court Issues Notice On Plea Challenging Constitutionality Of IBC Provisions Relating To Personal Guarantors

The Supreme Court has issued notice on a petition filed by a personal guarantor which raises a constitutional challenge to the personal insolvency provisions under the Insolvency & Bankruptcy Code, 2016 ("Code"). Since a similar issue is pending, the Court has directed to tag the present case along with the pending Special Leave Petition No. 16464 of 2021( Surendra B. Jiwrajka Vs...

IBBI Suspends IP Subrata Monindranath Maity Who Has Been Arrested By CBI Over Bribe Allegations

The Insolvency and Bankruptcy Board of India ("IBBI") has suspended Insolvency Professional, Mr. Subrata Monindranath Maity, vide an interim ex-parte order dated 09.05.2022, after the Central Bureau of Investigation ("CBI") had arrested Mr. Subrata over bribe allegations. Mr. Subrata was registered as an Insolvency Professional with IBBI bearing Registration...

Project Wise CIRP Of Real Estate Company Is Outside The Purview Of Insolvency And Bankruptcy Code, 2016: NCLT Chennai

The National Company Law Tribunal, Chennai Bench comprising of Justice S. Ramathilagam and Mr. Anil Kumar B (Technical Member) in the Case of N Kumar v. Tata Capital Housing Finance Ltd. held that the project wise Corporate Insolvency Resolution Process (CIRP) of a real estate company is outside the purview of Insolvency and Bankruptcy Code, 2016 (IBC/Code). Brief Facts CIRP...

Proceedings Against Personal Guarantor Of Corporate Debtor Can Be Continued Independently - Supreme Court Lifts The Stay

Supreme Court bench comprising of Justice S Abdul Nazeer and Justice Vikram Nath vide its order dated 06.05.2021 in the case of Mahendra Kumar Jajodia versus State Bank of India, Civil Appeal No. 1871/2022) dismissed the civil appeal filed against the Judgement of National Company Law Appellate Tribunal (NCLAT) in the case of SBI versus Mahendra Kumar Jajodia. NCLAT held that even...

Supreme Court Issues Notice On Meru Cab's Plea Alleging Anti-Competitive Practices By Ola

The Supreme Court, on Monday, issued notice in the appeal filed by Meru Cab assailing the order of the National Company Appellate Tribunal (NCLAT) refusing to set aside the order passed by the Competition Commission of India (CCI) exonerating Ola from allegations of abuse of dominant position. While issuing notice, a Bench comprising Justices L. Nageswara Rao and B.R. Gavai took note of...

Weekly Round Up Of IBC Cases: 2nd May To 8th May 2022

Supreme Court Supreme Court Permits Withdrawal Of SLP Filed By Jayaswal Neco Industries Ltd. Against RBI , Imposing A Cost Of Rs - 10 Lakh Case title: Jayaswal Neco Industries Limited & Another v Reserve Bank of India & Ors. Case No.: Special Leave Petition (Civil) Nos.9286-9287 of 2018. The Supreme Court Bench comprising of Justice U.U. Lalit and Justice S....

Insolvency Proceedings Initiated Against Birla Tyres Ltd., A B.K. Birla Group Company: NCLT, Kolkata

The National Company Law Tribunal ("NCLT") Kolkata Bench, comprising of Rohit Kapoor (Judicial Member) and Shri Harish Chander Suri (Technical Member) while adjudicating a petition filed under Section 9 of the Insolvency and Bankruptcy Code, 2016 ("IBC") in the matter of SRF Limited v Birla Tyres Ltd., has initiated Corporate Insolvency Resolution Process ("CIRP") against Birla Tyres...

Committee Of Creditors Are Competent To Revise The Approved Fees Of Resolution Professional: NCLAT

National Company Law Appellate Tribunal (NCLAT) principal bench comprising of Justice Ashok Bhushan and Ms. Shresha Merla in the case of Kushwinder Singhal versus Reena Tiwari held that the Committee of Creditors (COC) is fully competent to revise its earlier approval of the fees of the Resolution Professional (RP). The erstwhile Resolution Professional of Bestways Transport India...

Under A Security Trustee Agreement, An Individual Lender Cannot Invoke Personal Guarantee Without Taking Consent Of Other Co-Lenders: NCLT Delhi

The National Company Law Tribunal ("NCLT") New Delhi (Special Bench), comprising of Shri Dharminder Singh (Judicial Member) and Shri Avinash Kumar Srivastava (Technical Member), while adjudicating an application filed under Section 95 of the Insolvency and Bankruptcy Code, 2016 ("IBC") in IDBI Bank Ltd. v Manoj Gaur (Personal Guarantor of Corporate Debtor Jaypee Infratech Ltd)., has...

Supreme Court Permits Withdrawal Of SLP Filed By Jayaswal Neco Industries Ltd. Against RBI , Imposing A Cost Of Rs - 10 Lakh

The Supreme Court Bench comprising of Justice U.U. Lalit and Justice S. Ravindra Bhat, while adjudicating a Special Leave Petition (SLP) filed in Jayaswal Neco Industries Limited & Another v Reserve Bank of India & Ors., has allowed withdrawal of the SLP subject to costs. The sole consideration behind permitting withdrawal was that nine lenders of the Petitioner, which were...

CBI Arrests Interim Resolution Professional For Demanding A Bribe Of 20 Lakhs

Central Bureau of Investigation (CBI) arrested insolvency professional Mr. Subrata Monindranath Maity (IRP) for demanding a bribe of INR 20 lakhs from the promoter of Guardian Home Pvt. Ltd. for settlement of Corporate Insolvency Resolution Process (CIRP) of Guardian Homes. Brief Background NCLT Mumbai vide its order dated 03.01.2020 dismissed the Section 9 petition against...

Insolvency Proceedings Are Not Only For Fees Of Resolution Professional: NCLAT

National Company Law Appellate Tribunal (NCLAT) principal bench comprising of Justice Ashok Bhushan and Ms Shresha Merla in the case of Deepankar Sharma versus Pradeep Cycle Industries held that the Insolvency Proceedings are not proceedings only for fees of the Interim Resolution Professional (IRP). This order arises out of an appeal filed by the erstwhile IRP of Arpan International...