NCLT, Delhi Issues Circular Regarding Defective Applications And Petitions Based On Rule 28 (2) Of NCLT Rules, 2016

A circular has been issued by the National Company Law Tribunal, Delhi, on 07.04.2022, in view of Rule 28 (2) of NCLT Rules, 2016. The circular states on scrutiny, if an Application is found to be defective, after notice to the party, the same shall be returned for compliance. If the defects are not complied within 7 days, the Registrar may pass appropriate orders. This notice was issued...

IBBI Notifies The Amended Insolvency And Bankruptcy Board Of India (Voluntary Liquidation Process) Regulations, 2017

The Insolvency and Bankruptcy Board of India ("IBBI") has issued a Press Release on 08.04.2022 notifying the public that amendments have been made to Insolvency and Bankruptcy Board of India (Voluntary Liquidation Process) Regulations, 2017 ("Voluntary Liquidation Regulations"). These amendments were initially notified by the IBBI on its website on 05.04.2022 and it became...

Insolvency Resolution Process Against Legal Heirs Of Personal Guarantor By Financial Creditor not permissible ;NCLT Kolkata

The NCLT, Kolkata Bench Consisting of Shri Rajasekhar V.K(Member Judicial) and Shri Balraj Joshi (Member Technical) while dismissing the application filed by the Financial Creditor/ Bank of Baroda held that the application is not maintainable against legal heirs of the Personal Guarantor under the Code. Kilburn Chemicals Limited/Corporate Debtor had approached...

NCLT Delhi Admits Petition Under Section 7 Of IBC Against M/S Anand Divine Developers Pvt. Ltd. And Initiates CIRP

The Principal Bench of NCLT, Delhi, comprising of Shri Ramalingam Sudhakar (President) and Shri Avinash Kumar Srivastava (Technical Member), has admitted a petition under Section 7 of Insolvency and Bankruptcy Code, 2016 ("IBC") against M/s Anand Divine Developers Pvt. Ltd. and initiated the Corporate Insolvency Resolution Process ("CIRP") vide an order dated 25.03.2022. ATS...

Corporate Debtor Cannot Be Sent Into Liquidation Just Because Liquidation Value Is More Than The Value Of The Resolution Plan: NCLT Kolkata

NCLT Kolkata Bench comprising Shri Rajasekhar V.K. (Judicial Member) and Shri Balraj Joshi (Technical Member), while deciding interim applications in the matter of Ramsarup Industries Ltd., has held that just because the liquidation value is being projected higher than the value of the resolution plan, the Corporate Debtor cannot be sent into liquidation for this reason alone. The object...

Resolution Professional Cannot Decide The Eligibility Under Section 29A Of The Insolvency And Bankruptcy Code, 2016: NCLAT Delhi

A three-judge bench of the National Company Law Appellate Tribunal (NCLAT) comprising of Justice Ashok Bhushan, Dr. Alok Srivastava and Ms. Shreesha Merla held that the Resolution Professional is not required to take a decision regarding the ineligibility of the Resolution Applicant under Section 29A of the Insolvency & Bankruptcy Code, 2016. NCLAT was hearing the appeal...

NCLT Bengaluru Dismisses Insolvency Petition Against Café Coffee Day

The National Company Law Tribunal (NCLT) Bengaluru bench comprising of Ajay Kumar Vatsavayi ( Judicial Member) and Manoj Kumar Dubey ( Technical Member) has dismissed the insolvency petition filed against the parent company of Cafe Coffee Day namely Coffee Day Global Limited ("Coffee Day") by Cooperative Rabobank U.A. ("Rabobank"). Brief Factual Background Rabobank which is...

Pendency Of Execution Proceedings No Bar To Section 9 Petition: NCLAT

The NCLAT Principal bench comprising of Justice Ashok Bhushan and Dr Alok Srivastava held that the pendency of an execution petition does not bar the operational creditor from filing a petition under Section 9 of the Insolvency and Bankruptcy Code, 2016 Brief Factual Background The Operational Creditor Royal Resinex Pvt Ltd. ("Resinex") supplied poly propylene to the Corporate...

Supreme Court Issues Notice On NCLT Bar Association's Petition Challenging MCA Notification Fixing NCLT Members' Term As 3 Years

The Supreme Court on Tuesday issued notice in a writ petition seeking to modify the term of 3 years fixed by a notification issued by the Ministry for the members of the National Company Law Tribunal as 5 years.The Notification was issued on 20.09.2019 by the Ministry of Corporate Affairs in exercise of the powers conferred by section 408 of the Companies Act, 2013. The term was fixed as...

NCLT Delhi Declares Logix City Developers Insolvent And Appoints IRP

After the initiation of Corporate Insolvency resolution process of Supertech, Jaypee, Mascot Soho another Noida based real estate developer Logix city developers private limited ("Logix") is declared insolvent by the NCLT New Delhi vide its order dated and appointed the interim resolution professional. Colliers international (India) property services Pvt. Ltd. ("Operational...

National Company Law Tribunals; Reeling Under Poor Infrastructure

The National Company Law Tribunals (NCLT) were constituted in 2016 for adjudication of matters arising out of the Companies Act, 2013, and exclusive jurisdiction under the Companies Act was vested with the NCLTs. After the enactment of the Insolvency and Bankruptcy Code, 2016 in December 2016, NCLT has been vested with exclusive jurisdiction to deal with cases arising out of IBC. However, like any other tribunal, NCLTs have also received indifferent treatment from the government and...

NCLT Permits Centre To Take Over Delhi Gymkhana Club

The Bench comprising of Justice R Sudhakar and Narendra Kumar Bhola of Principal Bench, NCLT New Delhi allowed the petition filed under Section 241-242 of the Companies Act, 2013 by Union of India against the Delhi Gymkhana Club and allowed the Govt. to take over the control of the Delhi Gymkhana Club by nominating Fifteen (15) persons to be appointed as the directors of the Delhi...