IBC
Company Cannot Claim Non-Service of Notices After Keeping Registered Office Non-Functional: NCLAT
The National Company Law Appellate Tribunal (NCLAT) at Delhi has ruled that a company cannot complain of inadequate service of notices when it has itself allowed its registered office to remain non-functional for several years.Dismissing an appeal by the suspended director of AS Infracon Pvt. Ltd., Judicial Member Mohd Faiz Alam Khan and Technical Member Naresh Salecha upheld the initiation of insolvency proceedings against the company.The bench observed that notices had been sent to AS...
Post-2026 IBC Amendment, CIRP Withdrawal Barred Before CoC Formation Or After Plan Invitation: NCLAT
The National Company Law Appellate Tribunal (NCLAT) at Delhi has recently clarified that the 2026 amendment to the Insolvency and Bankruptcy Code has made withdrawal of an admitted insolvency case more stringent. An admitted case cannot be withdrawn before the Committee of Creditors is constituted or after the Resolution Professional issues the first invitation for resolution plans.The bench of Officiating Chairperson Justice Yogesh Khanna, Technical Member Barun Mitra and Technical Member Ajai...
NCLAT Delhi Sets Aside Insolvency Admission Against Raja Udyog, Notes Debt Fell Below ₹1 Crore Threshold
The National Company Law Appellate Tribunal (NCLAT) at Delhi on 25 August set aside the Kolkata Bench of the National Company Law Tribunal (NCLT) order admitting an insolvency application against Raja Udyog Private Limited. A Bench of Judicial Member Justice Mohd Faiz Alam Khan and Technical Member Naresh Salecha held that a Section 7 application under the Insolvency and Bankruptcy Code, 2016 (IBC) cannot be admitted when the debt due on the date of admission falls below the statutory threshold...
NCLAT New Delhi Upholds Dismissal Of Panshul Agro Food Plea Over Removal Of Hypothecated Machinery
The National Company Law Appellate Tribunal (NCLAT), New Delhi, on 25 August upheld the dismissal of Panshul Agro Food LLP's insolvency application under Section 10 of the Insolvency and Bankruptcy Code, 2016 (IBC), while reducing the penalty imposed on it from Rs. 10 lakh to Rs. 5 lakh.A Bench of Judicial Member Justice Mohd Faiz Alam Khan and Technical Member Naresh Salecha held that the application had been filed with malicious intent to stall State Bank of India's (SBI) recovery proceedings...
NCLAT New Delhi Clears Hurdles For ₹15-Cr Talwalkars Sale, Orders ROC To Reset Status To 'Active'
The National Company Law Appellate Tribunal (NCLAT), New Delhi, on 3 September partly allowed an appeal by Ravikumar Gaurishankar Patel, the successful auction purchaser of Talwalkars Better Value Fitness Ltd., and granted several reliefs sought by him to give effect to the Rs. 15 crore going-concern sale of the company during liquidation. A Bench of Officiating Chairperson Justice Yogesh Khanna with Technical Members Barun Mitra and Ajai Das Mehrotra held that the National Company Law Tribunal...
NCLT Chennai Dismisses EY's Plea Seeking 1% Success Fee For Relief In GST Proceedings, Asks ICAI To Examine
The National Company Law Tribunal (NCLT) at Chennai has recently dismissed EY's insolvency plea against a company. EY was seeking a 1% success fee for relief obtained in GST proceedings.The tribunal found a genuine dispute over EY's entitlement to the outcome-based fee.It also observed that the nature of EY's professional engagement and the permissibility of the outcome-based fee arrangement may be examined by the Institute of Chartered Accountants of India if the services were rendered through...
RP Can Revisit Admitted Claim After Verification Fails To Establish Financial Debt: NCLAT New Delhi
The National Company Law Appellate Tribunal (NCLAT), Principal Bench, New Delhi, on 1 September held that a Resolution Professional (RP) can revisit an earlier admitted claim during subsequent verification if the material on record fails to establish the existence of an independent financial debt. A Bench comprising Judicial Member Justice N. Seshasayee with Technical Members Arun Baroka and Indevar Pandey dismissed Somani Worsted Limited's appeal against the National Company Law Tribunal's...
NCLT Mandates Double-Sided Printing For All Filings To Promote Sustainability and Uniformity
As part of its objective to further environmental sustainability and bring about uniform documentation practices, the National Company Law Tribunal (NCLT) has ordered that all pleadings, petitions, replies, and affidavits submitted to any of its benches nationwide must now be printed on both sides of the paper.The tribunal further directed that annexures and supporting documents may also be printed on both sides wherever practicable, provided the readability of records is not...
Clerical Mistake In CIRP Form Causing No Impact on Approved Resolution Plan Not Gross Dereliction: NCLAT
Holding so, the appellate tribunal expunged adverse remarks against the resolution professional of Goyal Energy and Steel Private Limited.
Homebuyers Cannot Be Made To Bear Penal Charges For Project Delays As CIRP Costs: Supreme Court
The Supreme Court has ruled in a case that time extension charges imposed for delays caused by a defaulting developer are penal in nature. They cannot be passed on to homebuyers as costs of the Corporate Insolvency Resolution Process (CIRP), observing that the default was that of the developer and homebuyers could not be made to bear that liability."The time extension charges in any event are penal in nature and the developer who has caused the default having ended up in a CIRP, the inclusion as...
Public CIRP Announcement Creates Presumption Of Knowledge Of Moratorium: NCLAT
The National Company Law Appellate Tribunal (NCLAT) at Delhi has held that the public announcement of a company's insolvency process, along with the uploading of the admission order on the National Company Law Tribunal website, creates a deemed presumption that the appellant had knowledge of the moratorium imposed on the company.The tribunal made the observation while dismissing an appeal by Moving Pixels Pvt. Ltd. against an order directing it to return ₹80 lakh received from NDS Art World Pvt....
LiveLawBiz IBC Monthly Digest: August 2026
SUPREME COURT IBC Moratorium Applies Only To Corporate Debtor, Not Directors Or Promoters: Supreme CourtCase Title : TEJAS J.SHAH & AMISHA T. SHAH & ORS VERSUS MANTRI TECHNOLOGY CONSTELLATIONS PVT.LTD. Case Number : CIVIL APPEAL NOS.4289-4290 OF 2025 CITATION : 2026 LLBiz SC 248The Supreme Court on Monday held that the moratorium under Section 14 of the Insolvency and Bankruptcy Code, 2016, operates only against the corporate debtor. It ruled that courts or adjudicating authorities...