IBC Weekly Round-Up [14th April-20th April 2025]

Nominal Index: Sandeep Kumar Bhatt vs. Insolvency & Bankruptcy Board of India & Ors, LPA 1054/2024, CM APPL. 61894/2024 & CM APPL.1284/2025 Tirupati Drilling & Mining Services Private Limited Versus Sadbhav Engineering Limited, Company Appeal (AT) (Insolvency) No. 95 of 2025 & I.A. No. 395 of 2025 Deccan Advanced Sciences Private Limited V Escientia Biopharma Private Limited And Ors., Company Appeal (AT) (CH) No.43/2025 (IA Nos.535, 536, 537 & 538/2025) Shitanshu Bipin Vora Suspended Director of Exclusive Linen Fabrics Pvt. Ltd. Versus 1. Shree Hari Yarns Pvt. Ltd., Company Appeal (AT) (Insolvency) No. 2204 of 2024 Deepak Mahadev Shirke Versus Unity Small Finance Bank Limited and Anr.,Company Appeal (AT) (Insolvency) No. 490 of 2025 CATALYST TRUSTEESHIP LTD. Versus ECSTASY REALTY PVT. LTD, Company Appeal (AT) (Insolvency) No. 467 of 2023 Piramal Capital & Housing Finance Limited V/s M/s Andes Town Planners Private Limited, CP (IB) No. 317 (ND)/ 2022, IA 3738/2023, Intervention P 28/2024 M/s Saivi Finance Private Limited V/s M/s AKJ Metals Private Limited, IA/1044/ND/2024 and CP(IB)/24/ND/2024 Manveen Kaur, Personal Guarantor of M/s Bimbh Knit Fab Pvt. Ltd., CP(IB) No.207/Chd/Pb/2024 M/s Brilliant Metals Pvt. Ltd. V/s Avyukta Dairy Products Pvt. Ltd., CP (IB) No. 613 (ND)/ 2024 Skoda Auto Volkswagen India Private Limited Versus Susee Automotive Private Limited, IA (I.B.C) No. 1116/MB/2024 AND CP (IB) No. 1107/MB/2023 High Court Delhi High Court Reduces Suspension Period Imposed By IBBI Disciplinary Committee On Insolvency Professional, Finds Penalty Disproportionate Case Title: Sandeep Kumar Bhatt vs. Insolvency & Bankruptcy Board of India & Ors. Case Number: LPA 1054/2024, CM APPL. 61894/2024 & CM APPL.1284/2025 The Delhi High Court bench of Chief Justice Devendra Kumar Upadhyaya and Justice Tushar Rao Gedela have reduced the suspension period imposed on the Appellant/Resolution Professional, noting that the Disciplinary Committee of IBBI overlooked material aspects and relied on incorrect data while imposing the penalty. It reduced the suspension to the period already undergone. NCLAT Merely Stamping Invoices Does Not Imply Acceptance Of Debt Without Resolution Of Pre-Existing Dispute: NCLAT Case Title: Tirupati Drilling & Mining Services Private Limited Versus Sadbhav Engineering Limited Case Number: Company Appeal (AT) (Insolvency) No. 95 of 2025 & I.A. No. 395 of 2025 The National Company Law Appellate Tribunal (NCLAT) New Delhi bench of Justice Ashok Bhushan (Judicial Member), Mr. Arun Baroka (Technical Member) and Mr. Barun Mitra (Technical Member) has held that mere stamping of tax/proforma invoices at the site office by lower functionaries of the Corporate Debtor only indicates receipt and does not imply acceptance by the Corporate Debtor that there was no pre-existing dispute with respect to the quantum of the amount payable by the Corporate Debtor to the Operational Creditor, especially when the dispute related to the quantum of the amount had already been raised multiple times before issuance of the demand notice under Section 8 of the Insolvency and Bankruptcy Code, 2016 (Code). NCLT Cannot Rectify Or Amend Uploaded Order Without Hearing Affected Parties: NCLAT Case Title: Deccan Advanced Sciences Private Limited V Escientia Biopharma Private Limited And Ors. Case Number: Company Appeal (AT) (CH) No.43/2025 (IA Nos.535, 536, 537 & 538/2025) 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 once an order is uploaded on the website, it is deemed to be in the public domain. Therefore, the National Company Law Tribunal (NCLT) cannot carry out any rectification or amendment under Rule 154 of the NCLT Rules without first providing an opportunity of being heard to all affected parties. Adjudicating Authority Can't Presume Applicability Of Interest On Principal Amount In Absence Of Express Agreement Between Parties: NCLAT Case Title: Shitanshu Bipin Vora Suspended Director of Exclusive Linen Fabrics Pvt. Ltd. Versus Shree Hari Yarns Pvt. Ltd. Case Number: Company Appeal (AT) (Insolvency) No. 2204 of 2024 The National Company Law Appellate Tribunal (NCLAT) New Delhi bench of Justice Ashok Bhushan (Judicial Member), Mr. Arun Baroka (Technical Member) and Mr. Barun Mitra (Technical Member) has held that while deciding an application under Section 9 of the Insolvency and Bankruptcy Code, 2016 (Code), the Adjudicating Authority cannot presume the applicability of interest based on vague statements in the invoices issued by the Operational Creditor. Unless there is a specific contract between the parties stipulating the payment of interest on delayed payments, such claims for interest are not...

IBC Weekly Round-Up [14th April-20th April 2025]

Mohd Malik Chauhan

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