NBFCs Are Outside The Purview Of Insolvency & Bankruptcy Code: NCLAT [Read Judgment]

National Company Law Appellate Tribunal has held that Non-Banking Financial Corporation do not fall under the purview of Insolvency & Bankruptcy Code. It was noted that the respondent is a non-banking financial institution and is carrying on business of a financial institution and thereby it being financial service provider, it does not come within the meaning of...

Liquidator Cannot Deal With Properties Attached As 'Proceeds Of A Crime' Under PMLA: NCLAT [Read Judgment]

National Company Law Appellate Tribunal (NCLAT) has held that section 14 of Insolvency and Bankruptcy Code does not apply to properties attached as proceeds of crime under the Prevention of Money Laundering Act. In the present case, the Bank of Baroda had initiated 'Corporate Insolvency Resolution Process' against 'Rotomac Global Private Limited' (Corporate Debtor) which was followed by...

Prudential Framework for Resolution of Stressed Assets, 2019: The Winds of Change in Banking Sector

The last few months have seen a wave of reforms and implementation of new policies in the Indian banking system. One major cause for staggering banking sector is increasing Non-Performing Assets (NPAs). Evaluating bad loans of 39 listed banks in absolute term, it reached 92% in fiscal year of 2016 which was almost Rs. 5.79 trillion. In the backdrop of rising NPAs, the Reserve Bank of India came up with a circular which provided option to stressed companies to resolve NPAs. The first of...

Impact Of Insolvency And Bankruptcy Code 2016 On Indian Industries

The growing world trend and rapid globalisation have led to fast tracking of disposing off the cases related to insolvency, bankruptcy, liquidation etc. It's imperative to study and critically examine how the inception of IBC took place and to also get into the nitty gritty of the said enactment. Many jurists and lawyers are of the opinion that it was about time that something like IBC came into action and it was the need of the hour. But first things first, what is Bankruptcy, Insolvency and...

Foreign Court Order Cannot Withhold Insolvency Process; NCLT Admits SBI's Resolution Application Against Jet Airways [Read Order]

The National Company Law Tribunal Mumbai bench on Thursday admitted the insolvency petition filed by State Bank of India against grounded airlines company Jet Airways.The top public sector bank of India filed the application under Section 7 of the Insolvency and Bankruptcy Code stating that the airlines had defaulted payment of nearly Rs. 469 crores.Admitting the plea against Jet Airways,...

Debarment of The Defaulting Resolution Applicants: A Need of The Hour

The Insolvency and Bankruptcy Code, 2016 ("Code") and the regulations made thereunder have witnessed several amendments and litigations since the date of notification of the Code. It is an admitted fact that many corporate debtors have seen resolution under the Code, yet there are number of cases which have gone into liquidation due to varied reasons. The courts and tribunals in India have been working tirelessly to implement the spirit of the Code, that is, to promote resolution of...

Centre Appoints New Members At NCLT Benches [Read Notification]

The Ministry of Corporate Affairs has notified the appointment of judicial members and technical members to several benches of National Company Law Tribunal across the country.The newly appointed members have to report to the President, NCLT, New Delhi for joining their posts on or before July 7.Click here to download notificationRead...

Hope Centre Sets Up NCLAT Bench In Chennai : Justice Mukhopadhaya

The need for setting up regional benches of the National Company Law Appellate Tribunal was stressed by Justice S J Mukhopadaya, former SC judge and present NCLAT Chairman, while speaking at a seminar on the Insolvency and Bankruptcy Code at Chennai on Saturday.In the seminar, which was organized as a capacity building exercise for lawyers by the Bar Council of Tamil Nadu &...

IBC vs SEBI Act: SC To Hear In July If IBC Will Override SEBI Act

"Will the Insolvency and Bankruptcy Code (IBC) override Securities and Exchange Board of India (SEBI) Act? Whether depositors of a Collective Investment Scheme (CIS) can be treated as Financial Creditors under IBC and whether provisions of IBC can be invoked in case of CIS which is regulated by the SEBI Act, 1992?" The Supreme Court will be considering these issues in July in an appeal...

Bhushan Power Insolvency - NCLAT Wonders How P&H HC Passed Directions; Asks NCLT To Follow Orders Of Only SC & NCLAT

The National Company Law Appellate Tribunal has expressed surprise at the intervention made by the Punjab and Haryana High Court in the corporate insolvency resolution process of Bhushan Power and Steel, which is going on in National Company Law Tribunal, New Delhi bench.The NCLAT has directed the NCLT to consider the matter "uninfluenced by any order except the decision of this...

Seminar On Insolvency & Bankruptcy — Emerging Trends, Bar Council Of Tamil Nadu & Puducherry, Chennai

Bar Council Of Tamil Nadu & Puducherry, Chennai Cordially is organizing a Seminar on Insolvency & Bankruptcy — Emerging Trends to be held on 15th June 2019 at Bar Council auditorium, which will be Inaugurated by Hon'ble Mr. Justice S.J. Mukhopadhaya, Chairperson, National Company Law Appellate Tribunal. The event will be graced in the presence of Hon'ble Mr. Justice S....

Info About Insolvency Professionals Facing Disciplinary Proceedings Exempt From RTI Act, Says IBBI

Even as the Insolvency and Bankruptcy Code promised to accelerate insolvency cases and raised the demand for insolvency professionals, the Insolvency and Bankruptcy Board of India (IBBI) claims information about insolvency professionals facing disciplinary proceedings is exempt from disclosure under the RTI Act. The IBBI claimed exemption under section 8(1)(h) of the RTI Act which...