IBC News
IBC Cases Weekly Round-Up: 31st October To 6th November 2022
NCLAT Change In Composition Of COC Will Not Affect Its Prior Decisions: NCLAT New Delhi Case Title: DBS Bank v. Rakesh Kumar Jain Case No.: CA (AT) (Ins) No. 540/2021 The National Company Law Appellate Tribunal bench comprising of Justice Anant Bijay Singh (Judicial Member) and Ms. Shreesha Merla (Technical Member) has held that the change in composition of the Committee...
Union Govt. Appoints Judicial & Technical Members For NCLT
The Government of India vide its notification dated 05.11.2022 approved the appointment of 9 judicial members and 6 technical members in the National Company Law Tribunal (NCLT). Judicial Members 1.T Krishna Valli, Retd. Judge, Madras High Court 2.Vikas Kumar Srivastav, Retd. Judge, Allahabad High Court 3.Kuldeep Kumar Kareer, Retd. District Judge 4.Vishesh Sharma, Retd....
Default During Section 10A Period Cannot Be Clubbed To Meet Threshold Requirement Under Insolvency And Bankruptcy Code, 2016: NCLAT New Delhi
The National Company Law Appellate Tribunal (NCLAT) recently while deciding an appeal filed by the Operational Creditor against the order dated 17.08.2022 passed by NCLT, New Delhi held that amount of default occurred during the Section 10A period (24.03.2020-23.03.2021) of the Insolvency & Bankruptcy Code, 2016 (IBC/Code) cannot be clubbed by the Operational Creditor to meet...
Interim Moratorium Under Section 96 Of Insolvency & Bankruptcy Code, 2016 Is Limited To Particular Guarantor And Will Not Protect The Other Personal Co-Guarantors Of Same Debt: Delhi High Court
The Delhi High Court recently while dealing with two summary suits filed by creditors of Bhushan Steel limited against the ex-promoters of Bhushan Steel namely Brij Bhushan Singhal and Neeraj Singhal for recovery of money held that the interim moratorium under section 96 of the Insolvency & Bankruptcy Code, 2016 (IBC/Code) is specific to all debts of a particular debtor and will not...
When Corporate Debtor Does Not Create A Gratuity Fund, No Gratuity Is Payable: NCLT Chandigarh
The National Company Law Tribunal ("NCLT"), Chandigarh Bench, comprising of Shri Harnam Singh Thakur (Judicial Member) and Shri Subrata Kumar Dash (Technical Member), while adjudicating an application filed in Small Industries Development Bank of India (SIDBI)v International Mega Food Park Limited, has held that if the Corporate Debtor had not created a Gratuity Fund, then...
NCLAT Delhi Upholds Dismissal Of Section 9 Petition In Absence Of Cogent Evidence To Prove Supply Of Goods
The National Company Law Appellate Tribunal ("NCLAT"), New Delhi Bench, comprising of Justice Rakesh Kumar Jain (Judicial Member) and Mr. Kanthi Narahari (Technical Member), while adjudicating an appeal filed in M/s Mahadev Trading Company v M/s Supreet Chemicals Pvt. Ltd., has held that in absence of cogent evidence to prove that goods were supplied to the Corporate Debtor, a...
IBBI Amends Model Bye-Laws Regulations For Insolvency Professional Agencies
The Insolvency and Bankruptcy Board of India ("IBBI") has amended the IBBI (Model Bye-Laws and Governing Board of Insolvency Professional Agencies) Regulations, 2016 ("Model Bye laws Regulations") for a second time vide Gazette notification dated 31.10.2022. The Model Bye Laws Regulations lay down the governance structure and provides for model bye laws of the Insolvency...
Continuation Of RP Till Appointment Of Liquidator Doesn't Contravene IBC: NCLT Chandigarh
The National Company Law Tribunal ("NCLT"), Chandigarh Bench, comprising of Shri Harnam Singh Thakur (Judicial Member) and Shri Subrata Kumar Dash (Technical Member), while adjudicating a petition filed in Brij Lal Ashok Kumar v Tara Chand Rice Mills Pvt. Ltd., has held that in absence of any order from the Adjudicating Authority appointing a liquidator, the Resolution...
Past Tax Liabilities That Are Not Part Of Resolution Plan Shall Stand Extinguished: NCLT Mumbai
The National Company Law Tribunal ("NCLT"), Mumbai Bench, comprising of Justice P.N. Deshmukh (Judicial Member) and Shri Shyam Babu Gautam (Technical Member), while adjudicating a petition filed in Subodh Kumar Agrawal v Taguda Pte. Limited, has held that all past liabilities arising out of any levies/tax dues to any government authorities, etc., which accrued during CIRP period and...
Change In Composition Of COC Will Not Affect Its Prior Decisions: NCLAT New Delhi
The National Company Law Appellate Tribunal bench comprising of Justice Anant Bijay Singh and Ms. Shreesha Merla held that the change in composition of the Committee of Creditors (COC) of the Corporate Debtor will not affect its previous decision and the same will be binding on the newly included members of the COC. Previously, NCLT New Delhi directed the DBS Bank to pay Rs. 10.20...
Monthly Digest Of IBC Cases: October 2022
Supreme CourtDiscretion Of NCLT Under Section 7(5) IBC - Observations In 'Vidarbha Industries' Made In Context Of Case: Supreme Court Refuses ReviewCase Title : Axis Bank Ltd versus Vidarbha Industries Power Ltd Case No.: 2022 LiveLaw (SC) 817, RP (Civil) 1043/2022 The Supreme Court Bench comprising of Justices Indira Banerjee and JK Maheshwari held that there is no ground to...
No Notice Is Required For Personal Guarantor At The Stage Of Appointment Of IRP: NCLT Amravati
The National Company Law Tribunal ("NCLT"), Amravati Bench, comprising of Justice Telaprolu Rajani (Judicial Member), while adjudicating a petition filed in Central Bank of India v Mr. Kothapatti Raju, has held that in terms of Section 97 and Section 100 of IBC, no notice or right of audience can be given to the Personal Guarantor at a stage before appointing the...