NCLT Mumbai: Petition Under Section 9 Cannot Be Filed Only For Recovery Of Interest Component

The National Company Law Tribunal (“NCLT”), Mumbai Bench comprising of Mr. Kishore Vemulapalli (Judicial Member) and Mr. Prabhat Kumar (Technical Member), dismissed a petition filed in TCL Cables Pvt. Ltd. vs. Shapoorji Pallonji & Company Pvt. Ltd. by TCL Cables Pvt. Ltd. (Operational Creditor) for initiation of Corporate Insolvency Resolution Process (“CIRP”) against Shapoorji Pallonji & Company Pvt. Ltd. (Corporate Debtor) under Section 9 of the Insolvency and Bankruptcy Code,...

Weekly Digest Of IBC Cases: 11th To 17th September 2023

Supreme Court IBC | Cannot Ask Successful Resolution Applicant To Pay Arrears Payable By Corporate Debtor For Grant/Restoration Of Electricity Connection: Supreme Court Case Title: Tata Power Western Odisha Distribution Limited & Anr. V Jagannath Sponge Private Limited Citation: 2023 LiveLaw (SC) 788 The Supreme Court has held that under the Insolvency and Bankruptcy Code, 2016 (“IBC”), once the Resolution Plan stands approved by the National Company Law Tribunal (NCLT),...

NCLT New Delhi Benches Re-Constituted W.E.F 19th September 2023

The National Company Law Tribunal (“NCLT”), has issued a Circular dated 18.09.2023, intimating that the NCLT New Delhi Benches (Court No. V & VI) have been re-constituted with effect from 19.09.2023. The re-constituted Benches shall comprise of: NCLT New Delhi, Court Room No. V (First Half) Shri Mahendra Khandelwal (Judicial Member)Dr. Sanjeev Ranjan (Technical Member) NCLT New Delhi, Court Room No. VI (Second Half) Shri Mahendra Khandelwal (Judicial ...

NCLAT New Delhi: Responsbility Lies On The Claimant To Provide Necessary Details To Substantiate Its Claim

The National Company Law Appellate Tribunal (“NCLAT”), Principal Bench, New Delhi comprising of Justice Ashok Bhushan (Chairperson) and Mr. Barun Mitra Dash (Technical Member), dismissed an application filed in Engineering Mazdoor Parishad Devas vs. Teena Saraswat Pandey, Resolution Professional of S & H Gears Pvt. Ltd. seeking consideration and settling the claim of the Engineering Mazdoor Parishad Devas workers (Appellant) by the Resolution Professional (“RP”). Further, the...

IBC | Cannot Ask Successful Resolution Applicant To Pay Arrears Payable By Corporate Debtor For Grant/Restoration Of Electricity Connection: Supreme Court

The Supreme Court has held that under the Insolvency and Bankruptcy Code, 2016 (“IBC”), once the Resolution Plan stands approved by the National Company Law Tribunal (NCLT), the Electricity Department cannot demand payment of arrears, which were payable by the Corporate Debtor, from the Successful Resolution Applicant for restoration/grant of electricity connection. The Bench comprising Justice Sanjiv Khanna and Justice S.V.N Bhatti, has held that the ‘clean slate principle’ would stand negated...

NCLT Mumbai Admits Bagalkot Cement And Industries Ltd. Into Insolvency

The National Company Law Tribunal (“NCLT”), Mumbai Bench, comprising of Mrs. Lakshmi Gurung (Judicial Member) and Shri Charanjeet Singh Gulati (Technical Member), while adjudicating a petition filed in Vyshali Energy Private Limited v M/s. Bagalkot Cement and Industries Ltd., has initiated Corporate Insolvency Resolution Process (“CIRP”) against M/s. Bagalkot Cement and Industries Ltd., a Kanoria Group company. Mr. Atul Gala has been appointed as the Interim Resolution Professional...

NCLAT Chennai Terminates Insolvency Proceedings Against Café Coffee Day’s Parent Company, Parties Enter Settlement

The National Company Law Appellate Tribunal (“NCLAT”), Chennai Bench, comprising of Justice M. Venugopal (Judicial Member) and Mrs. Shreesha Merla (Technical Member), while adjudicating an appeal filed in Malavika Hegde v Indusind Bank Ltd. & Anr., has terminated the Corporate Insolvency Resolution Process (CIRP) of M/s Coffee Day Global Ltd. which was initiated by the NCLT on 20.07.2023. M/s Coffee Day Global Ltd. is the parent company of the Coffee Day Group and Coffee Day...

NCLAT Delhi: CIRP Can’t Be Modified On Project Basis On Request Of Financial Creditor When CIRP Is Against Company

The National Company Law Appellate Tribunal (“NCLAT”), Principal Bench, New Delhi comprising of Justice Ashok Bhushan (Chairperson) and Mr. Barun Mitra (Technical Member), dismissed an application filed in Kotak Mahindra Bank Ltd. vs. Resolution Professional of Universal Buildwell Pvt. Ltd. to confine the Corporate Insolvency Resolution Process (“CIRP”) filed by Kotak Mahindra Bank Ltd. (Financial Creditor) only in respect of one project of Universal Buildwell Pvt. Ltd. (Corporate...

NCLAT Chennai And Its Registry To Remain Closed On 18th September 2023 On Account Of ‘Vinayakar Chathurthi’, Matters To Be Heard On Next Day

The National Company Law Appellate Tribunal (“NCLAT”) has issued a circular dated 15.09.2023, intimating that the NCLAT, Chennai Bench would remain closed on 18.09.2023 (Monday) on account of ‘Vinayakar Chathurthi’ or Ganesh Chaturthi. The Registry of NCLAT Chennai would also remain closed. On 31.08.2023, the Government of Tamil Nadu had issued an Order bearing G.O.(Ms.) No.528, declaring 18.09.2023 as a public holiday on the occasion of ‘Vinayakar Chathurthi’. The matters listed on 18.09.2023...

NCLT Indore: Regional Provident Fund Commissioner Prohibited From Taking Actions During Moratorium Under Section 14 Of IBC

The National Company Law Tribunal (NCLT), Indore comprising of Mr. P. Mohan Raj (Judicial Member) and Mr. Kaushalendra Kumar Singh (Technical Member) adjudicating a petition filed by the Liquidator of Shirani Automotive Pvt Ltd (Corporate Debtor) issued notice to the Regional Provident Fund Commissioner. It observed that during the Moratorium period under Section 14 of the Insolvency and Bankruptcy Code 2016, the Regional Provident Fund Commissioner is prohibited from taking any...

NCLT Proceeded Ex-Parte Against CD On First Hearing After Notice, NCLAT Delhi Says Sufficient Opportunity Not Given As Per Rule 37(2) Of NCLT Rules

The National Company Law Appellate Tribunal (“NCLAT”), New Delhi Bench, comprising of Justice Ashok Bhushan (Chairperson), Shri Barun Mitra (Technical Member) and Shri Arun Baroka (Technical Member), while adjudicating an appeal filed in Ami Ashutosh Majumdar v Omkara Assets Reconstruction Pvt. Ltd. & Anr., has set aside an ex-parte order initiating CIRP against the Corporate Debtor. The NCLT had proceeded ex-parte against the Corporate Debtor on the first hearing held post issuance...

NCLT Hyderabad: NCLT Cannot Exercise Inherent Powers To Condone Delay Under Section 42 Of IBC When There Is A Clear Statutory Bar

The National Company Law Tribunal (“NCLT”), Hyderabad comprising of Justice Smt. Telaprolu Rajani (Judicial Member) and Sri Charan Singh, Member (Technical Member) dismissed an application filed in IFCI Limited. vs. BS Limited. (In liquidation) by IFCI Limited (Applicant) seeking condonation of the delay of 184 days in approaching the NCLT for filing an appeal under Section 42 of the Insolvency and Bankruptcy Code (“Code”) against the rejection of the claim order by the Liquidator of BS...