Rejection Of Resolution Plan By Suspended Director Can't Be Interfered With If No Expression Of Interest Was Submitted Despite Participation In Meetings: NCLAT

The National Company Law Appellate Tribunal (NCLAT) New Delhi bench of Justice Ashok Bhushan (Judicial Member), Mr. Barun Mitra (Technical Member) and Mr. Arun Baroka (Technical Member) has held that the rejection of the Resolution Plan submitted by the Suspended Director of the Corporate Debtor by Committee of Creditors (CoC) cannot be interfered with when the concerned Director...

Limitation Period For Filing Appeal U/S 61 Of IBC Commences From Date Of Order, Not From Date Of Its Receipt: NCLAT

The National Company Law Appellate Tribunal (NCLAT) New Delhi bench of Justice Ashok Bhushan (Judicial Member), Mr. Barun Mitra (Technical Member) and Mr. Arun Baroka (Technical Member) has held that the limitation period for filing an appeal under section 61 of the Insolvency and Bankruptcy Code, 2016 (Code) shall commence from the date of passing of the order and not from the date when...

Adjudicating Authority Is Empowered To Decide Whether Successful Resolution Applicant Is Liable To Pay Pre-CIRP Electricity Dues U/S 60(5) Of IBC: NCLAT

The National Company Law Appellate Tribunal (NCLAT) New Delhi bench of Justice Yogesh Khanna (Judicial Member) and Mr. Ajai Das Mehrotra (Technical Member) has held that the National Company Law Tribunal (NCLT) is empowered to decide an issue whether Successful Resolution Applicant (SRA) is liable to pay Pre-Corporate Insolvency Resolution Process (CIRP) electricity dues after the...

NCLT Mumbai Approves ACME Cleantech's Resolution Plan For Reliance Big Private Limited

The National Company Law Tribunal (NCLT), Mumbai bench comprising Justice V. G. Bisht (Judicial Member) and Shri Prabhat Kumar (Technical Member) has approved the Resolution Plan for Reliance Big Private Limited submitted by ACME Cleantech Solutions Private Limited. Brief Facts: Mr. Rohit Ramesh Mehra (“Applicant”), Resolution Professional of Reliance Big Private...

Pre-Section 10A Default Is Not Extended By Acknowledgment When Partial Payment Is Made For Acknowledged Debt: NCLAT

The National Company Law Appellate Tribunal (NCLAT) Chennai Bench of Justice Sharad Kumar Sharma (Judicial Member) and Mr. Jatindranath Swain (Technical Member) has held that the default falling in pre-section 10A period cannot be said to be continued when some payments towards the acknowledgement of debt accumulating during the prohibited period is made. Brief Facts: M/s...

Electricity Being Essential Supply Cannot Be Disconnected During CIRP Period As Per Section 14(2) Of IBC: NCLAT

The National Company Law Appellate Tribunal (NCLAT) New Delhi bench of Justice Ashok Bhushan (Judicial Member), Mr. Barun Mitra (Technical Member) and Mr. Arun Baroka (Technical Member) has held that electricity being an essential supply cannot be disconnected during moratorium period under section 14 of the Insolvency and Bankruptcy Code, 2016 (Code) even if no payment is made for such...

IBC Weekly Round-Up [17th February-23rd February 2025]

Nominal Index: BANK OF BARODA v. FAROOQ ALI KHAN & ORS., CIVIL APPEAL NO. 2759/2025, 2025 LiveLaw (SC) 234 Jai Prakash Keswani vs. MB Malls Pvt. Ltd & Ors, Company Appeal (AT) (Insolvency) No. 92 & 93 of 2025 & I.A. No. 294, 295, 378, 379 of 2025 Kumar Jivanlal Patel (Makadia) Vs. Patel Oils & Chemicals Pvt. Ltd. and Ors., Cont.A. -...

Beneficiaries Of Personal Guarantee Can File Application U/S 95 Of IBC: NCLAT

The National Company Law Appellate Tribunal (NCLAT) New Delhi bench of Justice Rakesh Kumar Jain (Judicial Member), Mr. Naresh Salecha (Technical Member) and Mr. Indevar Pandey (Technical Member) has held that beneficiaries of personal guarantee can initiate Personal Insolvency Resolution Process (PIRP) against Personal Guarantor under section 95 of the Insolvency and Bankruptcy Code,...

If Tribunal Is Closed On Last Day Of Filing Appeal U/S 61 Of IBC, That Day Shall Stand Excluded As Per Rule 3 Of NCLAT Rules: NCLAT

The National Company Law Appellate Tribunal (NCLAT) New Delhi bench of Justice Ashok Bhushan (Judicial Member) and Mr. Barun Mitra (Technical Member) has held that when office of the Tribunal remains closed on the last day of filing an appeal under section 61 of the Insolvency and Bankruptcy Code, 2016 (Code), the appeal can be filed on the day when the Tribunal reopens as per Rule 3 of...

Lone Homebuyer Can't Challenge Approval Of Resolution Plan: NCLAT

The National Company Law Appellate Tribunal (NCLAT), New Delhi bench of Justice Ashok Bhushan (Chairperson), Barun Mitra (Technical Member), and Arun Baroka (Technical Member) has held that one lone homebuyer has to go with the majority decision of the homebuyers and cannot challenge the approval of Resolution Plan. He has to sail or sink with the majority...

NCLT Can Punish For 'Civil Contempt' Of Its Orders U/S 425 Of Companies Act Read With S. 12 Of Contempt Of Courts Act: NCLT Ahmedabad

The National Company Law Tribunal (NCLT), Ahmedabad bench comprising Justice Shammi Khan (Judicial Member) and Mr. Sameer Kakar (Technical Member) have held that NCLT has the power to punish for its contempt under section 425 of the Companies Act, 2013 read with section 12 of the Contempt of Courts Act, 1971. Background Facts By the order dated 17.01.2025, the Tribunal held...

Sale Of Corporate Debtor In Liquidation As Going Concern Beyond 90 Days Is Permissible Under Amended Regulation 32A(4) Of IBC: NCLAT

The National Company Law Appellate Tribunal (“NCLAT”) New Delhi bench of Justice Rakesh Kumar Jain (Judicial Member) and Mr. Naresh Salecha (Technical Member) has held that the sale of a corporate debtor as a going concern in liquidation can be conducted even beyond 90 days under amended Regulation 32A(4) of the Liquidation Regulations, 2016 (Regulations). After the amendment, the...