Personal Guarantor Insolvency Provisions Of IBC Under Challenge

By a gazette notification dated 15 November 2019, the Government of India had brought into effect Part III of the Insolvency and Bankruptcy Code, 2016 (IBC) (save and except provisions dealing with the fresh start process mainly set out in Chapter III) dealing with the insolvency and bankruptcy of individuals and partnership firms in so far as it is applicable to personal guarantors of a corporate debtor. We have recently seen a lot of discussion surrounding these provisions in several...

Concept Of Commercial Wisdom And Its Legal Implications

The jurisprudential essence of the supremacy of commercial wisdom of Committee of Creditors has been reaffirmed time and again by the Supreme Court and the Adjudicating Authorities. The concept is brilliantly amplified from K. Sashidhar v. Indian Overseas Bank & Ors. (2019 SCC OnLine SC 257) to Committee of Creditors of Essar Steel India Limited v. Satish Kumar Gupta & Ors. (2019(16)SCALE319). The Hon'ble National Company Law Appellate Tribunal, New Delhi in Sunil S. Kakkad v. ...

Consumer Protection In The Digital Age

We, and every generation before us, have always put great import in the promise of an unquantifiable yet unanimously glorious future. The right to access the internet is now at par with other fundamental rights across the globe, but just as the internet is steadily becoming our most bankable future, the issue of access has shifted from the internet to information, ubiquitous yet closely held. The new bastions of power are the ones with information, or rather, data, as a staggering amount...

Resolution Plan Under IBC: An Albatross Around The Resolution Applicant's Neck

The Insolvency and Bankruptcy Code, 2016 ("the Code") aims to resolve the woes of stressed businesses ("Corporate Debtors") by putting them through a corporate insolvency resolution process ("CIRP") and transferring them as 'going concerns' to persons/entities ("Resolution Applicants") willing to take over their management and assets, and service their debts. The CIRP is seen as a more beneficial alternative to liquidation, as a going concern is likely to fetch a higher value for the...

Passenger Train Operations || Indian Railways' Tryst With PPP

"The Project for Private Participation in Passenger Train Operations will bring in a paradigm shift in passenger experience by significantly enhancing the quality of service while reducing transit time and supply-demand deficit through the introduction of modern technology rolling stock. The project will augment the availability of transportation services for the public." - Press Note, 2nd Pre-Bid Conference (August 12, 2020), Ministry of Railways, Government of India

How To Kick-Start Your UPSC Law Optional Preparation

Choosing the right optional subject is one of the crucial factor which determines whether you are in the final list of UPSC rank list or not. Law Optional is not a cup of tea for everyone unless one is really interested in it. But if you are law graduate and if you are choosing a non-law optional subject for UPSC, then your chances of success in the UPSC will decrease. Such a decision is not reasonable after memorizing tons of principles and case law in your graduation. Then, why some...

Keeping Securities Mandatorily In Dematerialised Form – Applicability To Companies

The Ministry of Corporate Affairs (MCA) vide the Companies (Prospectus and Allotment of Securities) Third Amendment Rules, 2018 dated September 10, 2018 inserted a new Rule 9A which came into effect from October 02, 2018 onwards. As per the said new Rule 9A, every unlisted public company is required to issue its securities only in dematerialised form and take all necessary actions to facilitate dematerialisation of all its existing securities in accordance with the provisions of the...

An Unvocal Area Of Adoption

“There can be no more intense discovery of society’s spirit than how it treats its youngsters.” -Nelson Mandela

Consumer Protection (E-Commerce) Rules, 2020 - A Blessing For Consumers

The Department of Consumer Affairs in the Ministry of Consumer Affairs, Food and Public Distribution issued Consumer Protection (E-commerce) Rules 2020 ("E-commerce Rules 2020"), which came into force on 23 July 2020. These Rules have been a topic of discussion for quite a while. The Government, in 2019, released the draft Consumer Protection (e-Commerce) Guidelines, 2018. These guidelines were to apply only to the Business-to-Consumer E-Commerce entities. Then in November 2019, the...

Whether The Circular Issued By The RBI Dated 27.03.2020 Whereby It Allowed Banks To Grant Moratorium On Payment Of Loan Instalments To Its Customers Is Mandatory, Directory Or Discretionary

Courtesy the present pandemic, financial difficulties are hurting industries across all sections. In order to ease out such a daunting situation, the RBI vide its circular dated 27th March 2020 had allowed banks and financial institutions to grant to its customers a moratorium of three months on payment of all loan installments falling due between March 1st, 2020 and May 31st 2020, which was further extended for another three months. In relation to the said circular dated 27th March 2020,...

Jurisdiction Of Courts In Arbitration Cases Where Place Of Arbitration Not Agreed Upon By Parties

In the recent trend of Judgments by various Courts in India, the autonomy of parties to decide about the seat/place of Arbitration have been upheld and they can even choose a neutral seat which has no connection with the cause of action. In such cases, it has been held that the court of such places would have exclusive jurisdiction over the matter. In the case of Indus Mobile Distribution Private Limited v. Datawind Innovations Private Limited, (2017) 7 SCC 678, the arbitration...

Operational Creditors In Insolvency: A Tale Of Disenfranchisement

The Insolvency and Bankruptcy Code, 2016 (hereinafter "IBC")[1] was hailed as a major reform in the insolvency landscape in India. The IBC was enacted in the context of a mounting 'non-performing assets' crisis and the failure of debt recovery statutes such as the Sick Industrial Companies Act, 1985 and the Recovery of Debts due to Banks and Financial Institutions Act, 1993, which were plagued by inordinate delays that led to the resultant loss of the value of the assets. Accordingly, a...