IBC News
NCLT Ahmedabad Directs Income Tax Department To Refund Tax To Corporate Debtor; Section 53 Of IBC Overrides Sec. 194-IA Of Income Tax Act
The National Company Law Tribunal (“NCLT”), Ahmedabad Bench, comprising of Mrs. Chitra Hankare (Judicial Member) and Dr. Velamur G Venkata Chalapathy (Technical Member), has held that Income Tax deducted and paid by the auction purchaser amounts to recovery of tax from Corporate Debtor (which is under liquidation), on priority with other creditors as mentioned in Section 53 of IBC,...
NCLT Mumbai: Buyer In Liquidation Auction Sale Can't Step Back On Ill-Founded Ground Of Absence Of NCLT's Order Extending Period To Conclude Sale
The National Company Law Tribunal ('NCLT'), Mumbai Bench, comprising Justice Shri V.G. Bisht (Judicial Member) and Shri Prabhat Kumar (Technical Member) held that a Buyer in a Liquidation Auction sale can't be allowed to step back on the ill-founded ground of the absence of an Order of NCLT extending the period of 90 days to conclude the sale. Background Facts Melker TTI...
IBC- Properties Sold In Auction Sale Before Declaration Of Moratorium Can't Be Treated As Liquidation Asset : Supreme Court
Recently, the Supreme Court (on December 06) observed that the properties of a defaulting borrower sold in an auction sale could not be treated as liquidation assets if the sale was concluded before the declaration of a moratorium under the Insolvency and Bankruptcy Code 2016.While doing so, the Bench of Justices Aniruddha Bose and Vikram Nath set aside the order passed by the National...
Weekly Digest Of IBC Cases: 11th To 17th December 2023
Supreme Court IBC | When Matter Heard But No Order Pronounced On The Same Day, Limitation To Commence From The Date When Order Gets Uploaded: Supreme Court Case Title: Sanjay Pandurang Kalate v Vistra ITCL (India) Limited and Others Case No.: Civil Appeal Nos 7467-7468 of 2023 The Supreme Court bench comprising Chief Justice of India Dr Dhananjaya Y Chandrachud, Justice J...
NCLT Modifies Composition Of Special Bench At NCLT Principal Bench From 18th To 20th December 2023, Matters To Be Heard Through VC On 21st & 22nd December 2023
The National Company Law Tribunal (“NCLT”) has issued a circular dated 15.12.2023, in supersessionof its earlier circular dated 12.12.2023, intimating the change in constitution of Special Bench in NCLT Principal Bench (New Delhi) from 18.12.2023 to 20.12.2023. The Special Bench shall attend to the matters listed before Justice Ramalingam Sudhakar (President) and Shri Avinash...
IBC | When Matter Heard But No Order Pronounced On The Same Day, Limitation To Commence From The Date When Order Gets Uploaded: Supreme Court
The Supreme Court has held that when the National Company Law Tribunal (“NCLT”) hears a matter on a particular date but does not pronounce the order on the same date, then the limitation for filing an appeal from such order before the National Company Law Appellate Tribunal (“NCLAT”) under Section 61 of the Insolvency and Bankruptcy Code, 2016 (“IBC”), would commence from the...
IBC | When Matter Heard On A Particular Date But Order Pronounced Later, NCLT Not To Affix Date Of Hearing On Order: Supreme Court
The Supreme Court has held that when a matter is heard by the National Company Law Tribunal (“NCLT”) on a particular date but the order is pronounced on another date, then NCLT must refrain from affixing the date of hearing on the order. The requirement of pronouncement of order cannot be dispensed with, since under the NCLT Rules, 2016 there is a distinction between 'hearing'...
NCLT New Delhi & NCLT Chandigarh Benches Re-Constituted W.E.F 18th December 2023
The National Company Law Tribunal (“NCLT”), has issued a Circular dated 12.12.2023, intimating that the NCLT New Delhi (Court No. II) and NCLT Chandigarh (Court No. I) benches have been re-constituted with effect from 18.12.2023. The reconstitution is being made in reference to the Office Order dated 11.12.2023, whereby Shri L.N. Gupta (Technical Member) has been posted to...
Special Bench At NCLT Principal Bench From 18th To 20th December 2023
The National Company Law Tribunal (“NCLT”) has issued a circular dated 12.12.2023, intimating the constitution of Special Bench in NCLT Principal Bench (New Delhi) from 18.12.2023 to 20.12.2023, since Shri Avinash Kumar Srivastava (Technical Member) is on leave in that duration. The Special Bench shall attend to the matters listed before Justice Ramalingam Sudhakar (President)...
Sec 240A IBC | Even If MSME Registration Obtained Post Commencement Of CIRP, Promoter Eligible To Submit Resolution Plan: Supreme Court
The Supreme Court has held that the Promoter of a Corporate Debtor is eligible to submit a resolution plan in terms of Section 240A of the Insolvency and Bankruptcy Code, 2016 (“IBC”), even if the Corporate Debtor was registered as Micro Small Medium Enterprise (“MSME”) after commencement of Corporate Insolvency Resolution Process (“CIRP”).The Bench comprising Justice Sanjay...
IBC | Cut-Off Date To Determine Resolution Applicant's Eligibility Under S.240A Is Date Of Submitting Resolution Plan : Supreme Court
The Supreme Court has held that for the purpose of Section 240A of Insolvency and Bankruptcy Code, 2016 (“IBC”), the cut-off date to determine the eligibility of a resolution applicant to submit a resolution plan, is the date on which the resolution plan was submitted and not the date on which Corporate Insolvency Resolution Process (“CIRP”) commenced.The Bench comprising Justice...
NCLT New Delhi: Date Of Default Or Pleadings Can Be Amended At Any Stage Of The Matter Under IBC
The National Company Law Tribunal (NCLT), New Delhi Bench, comprising of Shri Bachu Venkat Balaram Das (Judicial Member) and Shri Atul Chaturvedi (Technical Member) allowed the application of the Applicant for amendment of the date of default and held that the amendment of pleadings (including date of default) in a Corporate Insolvency Resolution Process (CIRP) application filed...