NCLT Can Order Forfeiture Of Entire Deposit If Purchaser Of Liquidation Assets Defaults In Payments : Supreme Court

The Supreme Court held that if a purchaser defaults on payment for assets acquired in liquidation under a judicially supervised sale, the entire amount already deposited may be forfeited. It further clarified that Section 74 of the Indian Contract Act, 1872 cannot be invoked to seek a refund, as no contract exists between the purchaser and the liquidator, the sale being conducted under...

NCLT Mumbai Rejects RP's Plea To Recover ₹325 Crore Paid To Ericsson During RCom Insolvency

The National Company Law Tribunal (NCLT) at Mumbai has recently refused to order Swedish Equipment Manufacturer Ericsson India Private Limited to return nearly Rs 325 crore that was paid to it during the insolvency proceedings of Reliance Telecom Ltd and Reliance Communications Ltd, two Anil Ambani led companies undergoing corporate insolvency resolution. The payments were made not as part...

LiveLawBiz: Business Law Daily Round-Up: December 10, 2025

TAXSubway Franchisee Hiked Base Prices To Neutralise ITC Loss, Amounted To Profiteering; 18% Interest Can't Apply Retrospectively: GSTATSupplying AI-Powered IT Infra Services, Content To USA Corp By Indian Counterpart Is 'Export' Not 'Intermediary' : Gujarat High Court"₹41664 Crores ITC Fraud Via Non-Existing Entities, Fake Invoices": Centre Flags Rising GST Evasion In Rajya...

NCLT Delhi Admits Canara Bank's Insolvency Plea Against Equinox Over ₹372 Crore Guarantee Default

The National Company Law Tribunal (NCLT) at New Delhi has admitted Canara Bank's insolvency petition against Equinox India Developments Limited, earlier known as Indiabulls Real Estate Limited, for defaulting on Rs 372.35 crore for loans extended to Sinnar Thermal Power Limited for its coal-based thermal power project in Maharashtra. The tribunal rejected the company's claim that the case...

Undertakings To Infuse Equity Or Retain Control Not Guarantees; NCLT Delhi Dismisses CIRP Plea Against RattanIndia

The National Company Law Tribunal at Delhi has dismissed Canara Bank's insolvency petition against RattanIndia Enterprises Limited, holding that promoter undertakings relating to equity infusion and management control do not constitute a corporate guarantee or a financial debt under the Insolvency and Bankruptcy Code. A bench of Judicial Member Manni Sankariah Shanmuga Sundaram and...

Complaints Against Auditors Or Company Secretaries No Ground To Seek Probe Into Company: NCLT Ahmedabad

The National Company Law Tribunal (NCLT) at Ahmedabad recently held that complaints of professional misconduct against auditors or company secretaries cannot form the basis for seeking an SFIO investigation into a company under Sections 212 or 213 of the Companies Act. It said such disciplinary action concerns only the individual professional and does not give the complainant any right...

Costs Incurred For Scheme Of Compromise Or Arrangement Not Included In Liquidation Cost: NCLT Kolkata

The National Company Law Tribunal at Kolkata has clarified that expenses incurred by a Liquidator in exploring a compromise or arrangement for the corporate debtor cannot be treated as liquidation cost, and the same cannot be reimbursed to the liquidator. It reiterated the framework under the Liquidation Regulations makes a mandatory distinction between “liquidation cost”...

NCLT Refuses To Condone 384 Day Delay In Filing Reply In CIRP Citing Voluminous Records

The National Company Law Tribunal (NCLT) at Ahmedabad has refused to condone a 384 day delay in filing a reply to an interlocutory application, holding that reasons such as the volume of documents, a change of advocates and internal communication issues do not amount to “sufficient cause” under Section 5 of the Limitation Act. Invoking the principle of dura lex sed lex (The law is...

Acknowledgment Of Creditor's Email Ledger Sufficient To Prove Debt Even Without Invoices: NCLAT

The National Company Law Appellate Tribunal (NCLAT) at Delhi has held that a corporate debtor's email acknowledgment of a creditor's ledger is sufficient acknowledgment of operational debt and is enough to justify admission of a Section 9-CIRP application.The tribunal ruled that once such acknowledgment is on record, the absence of invoices cannot defeat a claim or prevent crystallization...

LiveLawBiz: Business Law Daily Round-Up: December 09, 2025

TAX Service Tax | No Reverse Charge Liability On Software Maintenance Consumed Abroad; Hotel Expenses Not 'Sponsorship Services': CESTAT Bangalore Foreign Markings On Gold Biscuits Not Enough To Prove Smuggling: CESTAT Kolkata Sets Aside Confiscation Staff Reimbursement, Training, And Hospital Management In Joint Venture Not Taxable Under Service Tax: CESTAT Chennai Income Tax Act | Long...

Insolvency Plea Cannot Be Dismissed For Alleged Malice Without Cogent Proof: NCLT Ahmedabad

The National Company Law Tribunal at Ahmedabad has clarified that an insolvency application cannot be dismissed on allegations of fraudulent or malicious filing unless clear and cogent evidence of mala fides is shown. While admitting insolvency proceedings against Turnrest Resources Pvt Ltd, a coram of Judicial Member Shammi Khan and Technical Member Sanjeev Sharma said, “Section 65 of...

Company Cannot Seek Rectification Of Fraudulent Share Transfers Without Ownership Proof: NCLT Ahmedabad

The National Company Law Tribunal (NCLT) at Ahmedabad has held that a company cannot seek rectification of its register to undo fraudulent share transfers when it cannot produce the original shareholders' titles or any evidence of ownership. A coram of Judicial Member Chitra Hankare and Technical Member V G Venkata Chalapathy in an order dated December 3, 2025 said Symphony Limited had...