The National Company Law Appellate Tribunal (NCLAT) has excluded the period of lockdown for the purposes of counting Resolution Process vis-à-vis section 12 of the Insolvency & Bankruptcy Code (IBC), 2016.
Taking suo motu cognizance of the unprecedented situation which has arisen due to the spread of COVID19, bench comprising Justices Bansi Lal Bhat, Anant Bijay Singh & Ashok Kumar Mishra directed that any interim order/ stay order passed by this Appellate Tribunal in anyone or other appeal (s) under the IBC shall subsist till the next date of hearing.
"……inasmuch as certain steps required to be taken by various Authorities under Insolvency and Bankruptcy Code, 2016 or to comply with various provisions and
to adhere to the prescribed timelines for taking the 'Resolution Process' to its logical conclusion in order to obviate and mitigate such hardships, this Appellate
Tribunal in exercise of powers conferred by Rule 11 of National Company Law Appellate Tribunal Rules, 2016 r/w the decision of this Appellate Tribunal
rendered in "Quinn Logistics India Pvt. Ltd. vs. Mack Soft Tech Pvt. Ltd. in Company Appeal (AT) (Insolvency) No.185 of 2018" decided on 8th May" – the order states.
On March 23, 2020, Supreme Court Court had taken Suo Motu cognizance of the situation arising out of the challenge faced by the country on account of Covid-19 Virus. Taking note of the impending difficulties that may be faced by litigants/lawyers across the country in filing their petitions/applications/suits/ appeals/all other proceedings within the period of limitation, the period of limitation in all such proceedings, irrespective of the limitation prescribed under the general law or Special Laws whether condonable or not were extended with effect from 15th March 2020 till further order(s).
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