NCLT Issues Three Notices To Byju's Over Unpaid Dues, Hearing Scheduled For July 3

The National Company Law Tribunal (NCLT) has issued notices to Think and Learn Pvt Ltd, the parent company of Byju's, due to claims of unpaid dues from several creditors. Three companies, McGraw Hill, Cogent E-services, and AG Automation, have filed cases against Byju's. McGraw Hill claims that Byju's owes them Rs 1.43 crore, while Cogent E-services says they are owed Rs 6 crore. The NCLT has set hearings for these cases on July 3, giving Byju's two weeks to respond and...

NCLAT Delhi: Corporate Debtor Can't Escape Liability By Contending To Be Merely An Agent Of Principal

The National Company Law Appellate Tribunal ('NCLAT') Delhi, comprising Justice Ashok Bhushan (Chairperson), Mr. Barun Mitra (Technical Member), and Mr. Arun Baroka (Technical Member) held that the Corporate Debtor cannot escape liability by contending that it is merely an agent and by taking recourse under Section 230 of the Indian Contract Act, 1872. Background Facts: Topaki Media Private Limited (“TMPL”), the Corporate Debtor, provided advertising services by acting as an agent for...

NCLT Mumbai Allows ND Studios RPs' Plea To Exclude 116 Days From CIRP Period Due To Criminal Proceedings

The National Company Law Tribunal ('NCLT') Mumbai, comprising Justice Virendra Singh Bisht (Retd.) (Judicial Member) and Mr. Prabhat Kumar (Technical Member) allowed the plea of ND Studio Resolution Professional's (“RP”) granting exclusion of 116 days from the Corporate Insolvency Resolution Process (“CIRP”) period acknowledging the genuine hardships due to the ongoing criminal proceedings. Background Facts: NCLT Mumbai admitted ND's Art World Private Limited (Corporate Debtor) into...

NCLAT Delhi: Issuance Of Demand Notice U/S 8 Of IBC Is Fulfilled By Documentary Evidence Including Postal Receipt

The National Company Law Appellate Tribunal ('NCLAT') Delhi, comprising Justice Ashok Bhushan (Chairperson), Mr. Barun Mitra (Technical Member), and Mr. Arun Baroka (Technical Member) held that documentary evidence including postal receipt mentioning the registered address of the Corporate Debtor confirms the issuance of a Demand Notice under Section 8 of Insolvency and Bankruptcy Code (IBC). Background Facts: Topaki Media Private Limited (TMPL), the Corporate Debtor, provided...

NCLT Mumbai Approves Withdrawal Of Insolvency Proceedings Against Syska LED Lights After Settlement

The Mumbai bench of the National Company Law Tribunal (NCLT) of Justice Virendra Singh Bisht (Judicial Member) and Prabhat Kumar (Technical Member) has approved the withdrawal of the Corporate Insolvency Resolution Process (CIRP) initiated against Syska LED Lights Pvt Ltd. This decision was made after a settlement agreement was reached between Syska and its operational creditor, Neeraj Singh, proprietor of NJ Electronics. Syska LED Lights, a key player in the LED lighting solutions...

NCLT Hyderabad: The Term “Connected Person” Under Explanation-I Of Section 29A(J) Of IBC Relates To Resolution Applicant And Not Corporate Debtor

The National Company Law Tribunal ('NCLT') Hyderabad, comprising Dr. Venkata Ramakrishna Badarinath Nandula (Judicial Member) and Shri Charan Singh (Technical Member) held that the term “connected person” referred to in Explanation-I read with Section 29A(j) of Insolvency and Bankruptcy Code, 2016 ('IBC') relates to the Resolution Applicant and not the Corporate Debtor. Background Facts: On 24.06.2022, NCS Sugars Ltd. (Corporate Debtor), an MSME enterprise was admitted into the...

NCLT Grants Approval For Viacom18 And Star India Merger Scheme

The National Company Law Tribunal (NCLT) in Mumbai has taken the first step towards the completion of merger deal involving Reliance Industries Ltd's Viacom18, its subsidiary Digital18, and Walt Disney's Star India. The tribunal's Mumbai bench has admitted the merger scheme. The merger scheme entails a multi-stage process. Firstly, Viacom18's TV and streaming assets will be transferred to Digital18, its wholly-owned subsidiary. Subsequently, these assets will be demerged...

NCLT Defers Hearing On Go First's Insolvency Case To July

The National Company Law Tribunal (NCLT), New Delhi division bench of Justice Mahendra Khandelwal and Dr. Sanjeev Ranjan has postponed the hearing on the insolvency plea of Go First, the grounded airline, to July 11, 2024. This decision came among concerns regarding the future of the airline. The tribunal stated it needed time for further examination of the recent developments, particularly the ramifications of the Delhi High Court's order, before reaching a verdict. Go ...

NCLAT Seeks Google's Response On Appeals Against Play Store Billing Policy

The National Company Law Appellate Tribunal (NCLAT), New Delhi bench of Justice Yogesh Khanna (Judicial Member) and Ajai Das Mehrotra (Technical Member) admitted appeals filed by several prominent entities, including Kuku FM, Shaadi.com, Indian Broadcasting and Digital Foundation (IBDF), and People Interactive India Pvt. Ltd. This move follows their dissatisfaction with the Competition Commission of India's (CCI) decision to deny interim relief from complying with Google's...

Record Approval Of Resolution Plans Under IBC in FY2024 By NCLT

The National Company Law Tribunal (NCLT) achieved a record number of approvals for resolution plans under the Insolvency and Bankruptcy Code (IBC) in the financial year 2023-24 (FY24). According to an analysis by ICRA, the NCLT approved 269 resolution plans, a significant increase from the previous high of 189 plans in FY23. This notable rise in approvals is attributed to the surge in corporate debtors admitted under the IBC in FY23, largely influenced by the economic impacts of the...

Weekly Digest Of IBC Cases: 13th To 19th May 2024

NCLAT NCLAT Delhi Evokes Doctrine Of 'Approbate & Reprobate', Imposes Rs. 1 Lakh Cost On Creditor, Allowing Action For Contempt Case Title: Premjayanti Enterprises Pvt. Ltd. vs. Shivam Water Treaters Pvt. Ltd. Case No.: Comp. App. (AT) (Ins) No. 124 of 2023 The National Company Law Appellate Tribunal ('NCLAT') Delhi, comprising Justice Rakesh Kumar Jain (Judicial Member), Mr. Naresh Salecha (Technical Member), and Mr. Indevar Pandey (Technical Member) evokes the Doctrine ...

NCLAT Delhi: Dispute On Contractual Conditions Concerning Place Of Delivery And Obligation Towards Transport Of Goods Qualifies As “Pre-Existing Dispute” Under IBC

The National Company Law Appellate Tribunal ('NCLAT') Delhi, comprising Justice Rakesh Kumar Jain (Judicial Member), Mr. Naresh Salecha (Technical Member), and Mr. Indevar Pandey (Technical Member) held that the dispute between the parties regarding contractual conditions relating to place of delivery and obligation of parties for transport of goods is a “pre-existing dispute” under the Insolvency and Bankruptcy Code, 2016 (“IBC”). Background Facts: Sanam Fashion & Design...