NCLT Kochi Allows First Motion In ESAF Financial Holdings Scheme To Meet RBI Shareholding Limits

The National Company Law Tribunal (NCLT), Kochi, on Friday allowed a first motion application filed by ESAF Financial Holdings Pvt Ltd in relation to its proposed scheme of arrangement involving selective reduction of share capital and restructuring of its investment in ESAF Small Finance Bank. The scheme is aimed at complying with RBI directions requiring its shareholder, Dia Vikas Capital Pvt Ltd, a foreign-owned and controlled entity, to reduce its shareholding below 5% in the bank and 20%...

Offences Under IBC Triable By Special Court Where Registered Office Is Located: Madhya Pradesh High Court

The Madhya Pradesh High Court on 9 April held that offences under the Insolvency and Bankruptcy Code, 2016 (IBC) must be tried by the Special Court having jurisdiction over the place where the company's registered office is situated, and not on the basis of the residence of directors or the place of alleged non-compliance. A Single-Judge Bench of Justice Rajesh Kumar Gupta directed the Insolvency and Bankruptcy Board of India to file its complaint against Vinay Bhadauria before the...

Death Of Shareholder Led To AGM Default, NCLT Mumbai Compounds Offence, Cuts Fine To ₹1.16 Lakh

Holding that the default occurred on account of the death of a shareholder, the National Company Law Tribunal (NCLT), Mumbai, has compounded the offence arising from the delay in holding the Annual General Meeting of Dighi Agencies Private Limited for FY 2016–17. A coram of Judicial Member Lakshmi Gurung and Technical Member Hariharan Neelakanta Iyer imposed a total compounding fee of Rs. 1.16 lakh, as against the maximum fine computed by the Registrar of Companies at over Rs. 1.63 crore.The...

Transfer Of Unclaimed Shares To IEPF Does Not Extinguish Ownership: NCLT Jaipur

The National Company Law Tribunal (NCLT) at Jaipur has recently held that the transfer of unclaimed shares and dividends to the Investor Education and Protection Fund (IEPF) does not extinguish ownership and directed Shree Cement Ltd. to issue duplicate share certificates to Sumati Projects Limited. “The transfer to IEPF does not extinguish the underlying ownership of the Petitioner; it only transfers the unclaimed shares and dividends to the Fund. The Company is still duty-bound to issue...

NCLT Chennai Approves Roots Multi Clean Capital Reduction, Says Valuation Approval Is Majority's Wisdom

The National Company Law Tribunal (NCLT) at Chennai has recently declined to interfere with a share capital reduction scheme of an industrial cleaning equipment manufacturer, holding that valuation of shares falls within the commercial wisdom of the majority of shareholders and warrants no interference absent compelling reasons. A bench of Judicial Member Jyoti Kumar Tripathi and Technical Member Ravichandran Ramasamy observed,“. …the approval of the valuation is ultimately a matter of the...

NCLT Allahabad Clears First Motion In Salasar–Hill View Merger

The Allahabad Bench of the National Company Law Tribunal (NCLT) has allowed a first motion application in the proposed amalgamation of Hill View Infrabuild Limited with Salasar Techno Engineering Limited, directing that stakeholder meetings be held for the transferee company while dispensing with such meetings for the transferor company. The order was passed on April 6, 2026 by a bench comprising Judicial Member Praveen Gupta and Technical Member Ashish Verma, on a joint plea moved by the two...

NCLT Jaipur Approves Demerger Of Vishal Personal Care Into Bajaj Consumer Care

On Thursday, 9 April, the Jaipur Bench of the National Company Law Tribunal (NCLT) approved a scheme of arrangement demerging Vishal Personal Care Limited into Bajaj Consumer Care Limited. A Bench comprising Judicial Member Reeta Kohli and Technical Member Kavita Bhatnagar allowed the petition filed under Sections 230–232 of the Companies Act, 2013 seeking sanction of the demerger scheme. It held: “Upon considering the approval accorded by the Members and Creditors of the Petitioner...

Promoter Takeover Cannot Be Treated As 'Disinvestment' Under The Companies Act: NCLT Chennai

The Chennai Bench of the National Company Law Tribunal (NCLT) on 2 April, held that a promoter-led acquisition of minority shareholding under Section 230(11) of the Companies Act, 2013 does not constitute “disinvestment”. A Bench comprising Judicial Member Sanjiv Jain and Technical Member Venkataraman Subramaniam dismissed an application filed by the Tamilnadu Industrial Investment Corporation Ltd (TIIC) seeking recall of a scheme of arrangement. The Tribunal observed: “It is observed that...

NCLT Delhi Allows First Motion In Amalgamation Of Info Edge Subsidiaries, Orders Stakeholder Meetings

The Delhi Bench of the National Company Law Tribunal on April 7, 2026 allowed a first motion application filed by the holding company (Info Edge (India) Ltd.) behind platforms such as Naukri.com and Jeevansathi.com and directed meetings of its stakeholders in a proposed amalgamation of four wholly owned subsidiaries into it. The order was passed by a bench of Judicial Member Manni Sankariah Shanmuga Sundaram and Technical Member Atul Chaturvedi. The application was jointly filed by Info...

Madras High Court Rejects MSME's Interest Claim Under MSMED Act In Absence Of Contract

The Madras High Court has dismissed an MSME's claim for interest under the Micro, Small and Medium Enterprises Development Act, 2006, holding that such interest cannot be awarded where the claim arises as compensation under Section 70 of the Contract Act and not from a contractual debt Justice Senthilkumar Ramamoorthy, in a judgment delivered on April 01, 2026, held that, “In any event, the plaintiff cannot claim interest on compounded basis with monthly rests, whether by invoking Section 16 of...

Civil Courts Cannot Decide Shareholder Disputes Requiring Rectification Of Register: Bombay High Court

On 6 April, the Bombay High Court held that only the NCLT can decide disputes over shareholding or rectification of the register of members, and civil courts have no jurisdiction under Section 430 of the Companies Act, 2013. A Bench of Justice R.I. Chagla heard Notices of Motion in a suit filed by the son and ex-wife of a deceased shareholder of Panache Securities Pvt Ltd, who alleged that individuals claiming to act on behalf of the company fraudulently transferred shares, removed a director,...

NCLAT Chennai Holds Share Purchase Rights Forfeited By Delay In Exercising First Option

The National Company Law Appellate Tribunal (NCLAT) at Chennai on 26 February dismissed an appeal by PM Johny challenging an NCLT order that permitted respondents to purchase shares at a higher valuation, holding that the appellant forfeited the right by failing to act at the appropriate stage. A Bench comprising Judicial Member Justice Sharad Kumar Sharma and Technical Member Jatindranath Swain observed: “…the Appellant cannot take an advantage at this stage by carving arguments when the...