NCLT Delhi Admits CIRP Against Prodot Media, Holds Guarantee Liability Survives Borrower's Resolution Plan

The New Delhi Bench of the National Company Law Tribunal (NCLT) on 1 July held that a corporate guarantor's co-extensive liability is not extinguished merely because a Financial Creditor's claim has been partially admitted under the resolution plan of the principal borrower. Judicial Member Mahendra Khandelwal and Technical Member Atul Chaturvedi admitted an insolvency petition filed by Pashupati Facility and Management Service Pvt. Ltd. against Prodot Media Pvt. Ltd., in its capacity as a...

NCLT Delhi Admits CIRP Against Regal Enterprises, Rejects Solvency Claim Without Evidence

The New Delhi National Company Law Tribunal (NCLT) on 9 July admitted a Corporate Insolvency Resolution Process (CIRP) petition against Regal Enterprises Limited, holding that a financial creditor only needs to establish the existence of debt and default under Section 7 of the Insolvency and Bankruptcy Code (IBC). President Anupinder Singh Grewal and Technical Member Ravindra Chaturvedi admitted the petition filed by Akkme Food Craft Limited and ordered commencement of CIRP against Regal...

IBBI Chairperson Cannot Act As Disciplinary Committee Under IBC: Calcutta High Court

The Calcutta High Court on 16 July held that the Chairperson of the Insolvency and Bankruptcy Board of India (IBBI) cannot act as the Disciplinary Committee under the Insolvency and Bankruptcy Code (IBC), as the Committee can consist only of Whole-Time Members of the IBBI. Justice Shampa Sarkar allowed the petition filed by Sashi Agarwal, an Insolvency Professional, and set aside the IBBI order cancelling his registration under Section 220(2) of the IBC, which empowers the Disciplinary...

IBC Does Not Require Prior CIRP Against Corporate Debtor To Initiate Guarantor Insolvency: NCLAT Delhi

The New Delhi National Company Law Appellate Tribunal (NCLAT) on 14 July held that financial creditors can directly initiate insolvency proceedings against personal guarantors without any pending Corporate Insolvency Resolution Process (CIRP) or liquidation proceedings against the corporate debtor. Judicial Member Justice Mohd Faiz Alam Khan and Technical Member Naresh Salecha allowed appeals filed by UCO Bank against orders of the Kolkata Bench of the National Company Law Tribunal (NCLT),...

NCLT Delhi Questions Indian Bank's Belated RP Removal Bid, Cites Lack Of Basis For 'Loss Of Trust'

The New Delhi National Company Law Tribunal (NCLT) on 7 July questioned Indian Bank's attempt to replace the Resolution Professional (RP) of Nimitiya Hotel and Resorts Limited more than two and a half years after approving the resolution plan, observing that the bank failed to provide any factual basis beyond citing “loss of trust”. Judicial Member Jyotsna Sharma and Technical Member Reena Sinha Puri directed that copies of its orders dated 20 March 2026, 15 April 2026, and 20 May 2026 be...

NCLAT Issues Notice In Jiostar's Appeal Against Rejection Of Insolvency Plea Against Absolute Legends

The National Company Law Appellate Tribunal (NCLAT) on Monday issued notice in an appeal filed by Jiostar India Pvt. Ltd. against an order rejecting its insolvency plea against Absolute Legends Sports Pvt. Ltd., the promoter of the Legends League Cricket Masters T20 tournament. The appellate tribunal observed that the National Company Law Tribunal (NCLT) had failed to consider Jiostar's contention that the Media Rights Agreement had been duly signed on its behalf by Ankush Mahajan. A bench of...

NCLT Mumbai Upholds ₹30 Lakh Deposit Forfeiture Over Suppressed Ties With Ex-Management Of Corporate Debtor

The Mumbai bench of the National Company Law Tribunal has dismissed an application filed by Hinganghat Infrastructure Pvt Ltd seeking a direction to the Resolution Professional and the Committee of Creditors (CoC) of Deegee Orchards Pvt Ltd to refund its ₹5 lakh Participation Money Deposit (PMD) and ₹25 lakh Earnest Money Deposit (EMD). The tribunal held that the company's failure to disclose its relationship and arrangement with the former management of the corporate debtor amounted to a...

NCLT Mumbai Rejects Resolution Professional's Two Fraudulent Transaction Pleas In RCIL Insolvency

The Mumbai bench of the National Company Law Tribunal has dismissed two applications filed by the Resolution Professional of Reliance Communications Infrastructure Ltd (RCIL), which alleged fraudulent transactions involving Netizen Engineering Pvt Ltd (NEPL) and RCIL's wholly owned subsidiary, Worldtel Tamil Nadu Pvt Ltd (WTPL). The tribunal found that the transactions did not increase the corporate debtor's liabilities. It also found that the assignment of receivables to WTPL did not reduce...

Liquidator's Sale Of Corporate Debtor's Shell Entity Valid After Creditor Consultation: NCLAT New Delhi

The New Delhi Bench of the National Company Law Appellate Tribunal (NCLAT) on 14 June held that a liquidator can sell the shell legal entity of a corporate debtor through public auction during liquidation after consulting creditors, where all assets of the corporate debtor have already been realised and dissolution is the only remaining option. Judicial Member Justice Mohd Faiz Alam Khan and Technical Member Naresh Salecha upheld the sale of Abhijeet MADC Nagpur Energy Pvt. Ltd.'s legal entity,...

IBC Cannot Be Used to Validate Illegal Constructions Or Defeat Town Planning Laws: NCLAT

The National Company Law Appellate Tribunal (NCLAT) in Delhi has held that while a corporate debtor's subsisting contractual and development rights under a hire-purchase agreement may constitute assets under the Insolvency and Bankruptcy Code (IBC), the insolvency process cannot be used to legitimise unauthorised construction or defeat statutory town planning laws. A bench of Judicial Member Justice Mohd. Faiz Alam Khan and Technical Member Naresh Salecha observed: “We emphasise that...

Article 227 Cannot Be Used To Bypass NCLAT Remedy Against NCLT Orders: Kerala High Court

The Kerala High Court on 14 July held that parties cannot invoke the High Court's supervisory jurisdiction under Article 227 of the Constitution to challenge orders passed by the National Company Law Tribunal (NCLT) when the Insolvency and Bankruptcy Code, 2016 provides an effective statutory appellate remedy before the National Company Law Appellate Tribunal (NCLAT). Justice T.R. Ravi dismissed a petition filed by Erattupetta Municipality, observing: “When a person chooses not to take any...

NCLT Records Highest-Ever First-Quarter Performance Under IBC, Approves 78 Resolution Plans

The National Company Law Tribunals (NCLT) across the country have recorded their highest-ever first-quarter performance under the Insolvency and Bankruptcy Code (IBC), approving 78 resolution plans between April and June 2026, according to a performance report issued by its Registrar on July 13, 2026. The 78 resolution plans, involving an aggregate approved value of ₹5,517.66 crore, surpassed the previous first-quarter high of 73 approvals recorded during April-June 2024. During the...