IBC Resolution Plan Acceptance Is “Settlement” Under Section 16 Court Fees Act: Delhi High Court

On 1 June, the Delhi High Court held that acceptance of claims under a resolution plan in insolvency proceedings amounts to a “settlement” within the meaning of Section 16 of the Court Fees Act, 1870, thereby entitling a plaintiff to refund of court fee upon withdrawal of the suit. Justice Subramonium Prasad allowed Sainik Industries Pvt. Ltd. to withdraw its recovery suit against Indian Sugar Manufacturing Company Ltd. and directed refund of the entire court fee. He held: “However, the...

Extinguished Dues Cannot Be 'Resurrected' To Disqualify Resolution Applicant Under IBC: Supreme Court

The Supreme Court has recently held that once a company has been resolved under an approved insolvency resolution plan and all remaining dues stand extinguished, those dues cannot be "resurrected" to assess the eligibility of a prospective resolution applicant a year later. It set aside orders that had declared Cosmic CRF Ltd ineligible to participate in the corporate insolvency resolution process of Amzen Transportation Industries Pvt. Ltd. A Bench of Justices J.B. Pardiwala and Ujjal Bhuyan...

Over 80% Of NCLT, NCLAT Workforce Is Contractual; Justice Pankaj Mithal Calls For Reforms

Supreme Court judge Justice Pankaj Mithal on Monday said that more than 80% of the workforce of the National Company Law Tribunal (NCLT) and National Company Law Appellate Tribunal (NCLAT) consists of contractual employees, warning that the heavy dependence on temporary staff is disrupting the functioning of India's insolvency adjudication system.Speaking at an event marking 10 years of the NCLT and NCLAT at the Constitution Club of India in New Delhi, Justice Mithal said the completion of a...

NCLAT New Delhi Orders Fresh Auction In MBSL Case, Holds JFC Finance Excluded Over BAANKNET Glitch

The New Delhi National Company Law Appellate Tribunal (NCLAT) on 29 May allowed the appeal filed by JFC Finance (India) Ltd., holding that the bidder was wrongfully excluded from the e-auction process due to a possible technical glitch on the BAANKNET platform and directing a fresh auction with a reserve price of Rs 54 crore. Chairperson Justice Ashok Bhushan and Technical Member Barun Mitra observed: “We are of the considered view that merely because the auction platform hinged on automation...

NCLAT Delhi Rules Unregistered Development Agreement Cannot Defeat CIRP Rights Over Ananta Residency

The New Delhi Bench of the National Company Law Appellate Tribunal on 25 May partly allowed a batch of appeals concerning the Ananta Residency project, holding that Halwasiya Developments Pvt. Ltd. could not claim ownership or exclusive rights under an unregistered Development Agreement executed in 2018. Chairperson Justice Ashok Bhushan and Technical Member Barun Mitra noted that the project continued to form part of the Corporate Insolvency Resolution Process (CIRP) despite the 2014 mortgage...

Supreme Court Refuses To Interfere With Interest On Adani Infra's Delayed ₹255 Crore Payment For Land Bought In Liquidation

The Supreme Court on Monday declined to interfere with a National Company Law Appellate Tribunal (NCLAT) order directing Adani Infrastructure & Developers Pvt Ltd to pay 12% interest on delayed payment of ₹255 crore. The amount formed part of the consideration for its ₹325-crore purchase of a land parcel belonging to Anil Ltd, which is under liquidation. A bench of Justices Dipankar Datta and Satish Chandra Sharma dismissed an appeal filed by the liquidator. The liquidator had challenged...

LiveLawBiz IBC Weekly Digest: May 25 - May 30, 2026

SUPREME COURT Supreme Court Declines Ex-NCLAT Member's Plea Challenging Post-Retirement Practice Restriction Before NCLT, NCLAT Case Title : VIJAI PRATAP SINGH vs UNION OF INDIA Case Number : W.P. (C) No. 670/2026The Supreme Court on Wednesday declined to entertain a writ petition filed by former National Company Law Appellate Tribunal (NCLAT) Technical Member Vijai Pratap Singh challenging the statutory restriction prohibiting former tribunal members from appearing...

SRA Who Failed To Implement Resolution Plan Not Necessary Party To Liquidation Proceedings: NCLAT

The National Company Law Appellate Tribunal (NCLAT) has held that a successful resolution applicant who fails to implement an approved resolution plan is not a necessary party to a liquidation application. The tribunal made the observation while dismissing two appeals filed by Roopya Tradebizz Ltd against orders directing the liquidation of Euphoria Technologies Pvt Ltd. "In so far as submission of the appellant that he was necessary party to the liquidation application, we are of the view...

Commercial Court Decree Does Not Give Creditor 'Superior Status' In Liquidation Waterfall: NCLT Bengaluru

The National Company Law Tribunal (NCLT), Bengaluru Bench, has held that a decree obtained from a Commercial Court does not confer any superior status on a creditor under the Insolvency and Bankruptcy Code, 2016 (IBC). Such a creditor continues to be governed by its classification under the insolvency framework for the purposes of distribution under Section 53 of the Code. The tribunal observed,“A decree obtained during or after the commencement of insolvency proceedings does not confer any...

NCLAT Upholds CIRP Against Parsvnath Developers, Finds Debt And Default Proved Despite Settlement Efforts

The National Company Law Appellate Tribunal (NCLAT) at Delhi has dismissed appeals filed by the suspended directors of Parsvnath Developers Limited and its corporate guarantor, Noida Marketing Pvt. Ltd. It upheld orders admitting both companies into the corporate insolvency resolution process (CIRP), finding that debt and default stood proved. A bench of Chairperson Justice Ashok Bhushan and Technical Member Barun Mitra held,“Default on the part of the corporate debtor is well proved from the...

Asset Joins Liquidation Estate If Creditor Fails To Act Within 30 Days Of Liquidation Commencement: NCLT Mumbai

The Mumbai Bench of the National Company Law Tribunal (NCLT) has held that Union Bank of India could not claim exclusive entitlement to Rs 1.83 crore refunded after the wrongful invocation of bank guarantees during the corporate insolvency resolution process of EMI Transmission Ltd, finding that the amount was not covered by the bank's disclosed security and formed part of the liquidation estate. A coram of Judicial Member Lakshmi Gurung and Technical Member Hariharan Neelakanta Iyer found that...

NCLAT Upholds Eviction Of Suspended Directors' Family From Insolvent Company-Owned Hotel, Says MoU, Award Collusive

The National Company Law Appellate Tribunal (NCLAT) at Delhi has upheld the eviction of occupants from a five-star hotel owned by an insolvent company, holding that an unregistered Memorandum of Understanding (MoU) and a subsequent arbitral award could not confer occupancy rights over the property and appeared to have been created only for the purposes of the case. The ruling came in appeals filed by Raman Khangura and her father-in-law Jagpal Singh Khangura against an order directing them to...