Allotment In Proposed Realty Project Without Fund Disbursement By Claimants Is Not Financial Debt: NCLT Mumbai

The National Company Law Tribunal (NCLT) at Mumbai has dismissed six applications seeking recognition as financial creditors in the insolvency of E-Commerce Magnum Solution Ltd. It held that a purported allotment in a proposed real estate project, without proof of disbursement, does not create a financial debt under the Insolvency and Bankruptcy Code.“Merely producing a copy of the purported allotment letter will not by itself create a financial debt under Section 5(8) of the Code without...

NCLT Ahmedabad Extends Blu-Smart Mobility Insolvency Process By 90 Days

The National Company Law Tribunal (NCLT) at Ahmedabad has granted an additional 90 days to complete the insolvency process of Blu-Smart Mobility Limited, extending the deadline beyond January 24, 2026. The insolvency proceedings against the company had begun on July 28, 2025, after the tribunal admitted a petition filed by Catalyst Trusteeship Limited under Section 7 of the Insolvency and Bankruptcy Code. The case was filed on behalf of financial creditors. The original 180-day period was...

NCLAT Upholds Insolvency Admission Against Karanja Terminal Over ₹330 Crore Default

The National Company Law Appellate Tribunal has upheld the initiation of insolvency proceedings against Karanja Terminal & Logistics Private Limited, a port operator, after rejecting its claim that a proposed settlement with lenders had stalled insolvency action. A bench comprising Chairperson Justice Ashok Bhushan and Technical Member Barun Mitra agreed with the National Company Law Tribunal that the corporate insolvency resolution process was rightly admitted. The tribunal said the...

IBC Weekly Digest: January 26 to February 1

SUPREME COURTSupreme Court Asks NCLT To Re-Examine RP Appointment In Finefacilis Personal Guarantor InsolvencyCase Title : Samman Capital Limited v. Vasudevan Sathyamoorthy & Anr. Case Number : Civil Appeal No. 555/2026 CITATION : 2026 LLBiz SC 29The Supreme Court recently sent the issue of appointing a resolution professional in insolvency proceedings against a personal guarantor of Finefacilis Management Private Limited on a plea by Samman Capital back to the...

NCLT Chennai Directs Re-Verification of SBI Claim In Apollo Polyvinyl Insolvency

The National Company Law Tribunal (NCLT) at Chennai has recently held that a resolution professional cannot mechanically admit a lender's claim during insolvency proceedings when it distorts voting power in the committee of creditors. The tribunal ordered a fresh verification of the claim admitted in favour of the State Bank of India in the insolvency of Apollo Polyvinyl Private Limited. A coram of Judicial Member Jyoti Kumar Tripathi and Technical Member Ravichandran Ramasamy said higher...

NCLT Amravati Approves ₹884.82-Crore Capri Global Plan For SevenHills Healthcare Backed By Reliance Group

The National Company Law Tribunal (NCLT) at Amravati has approved a Rs. 884.82 crores resolution plan submitted by Capri Global Holdings Pvt Ltd for revival of Sevenhills Healthcare Pvt Ltd.The tribunal reiterated that once a resolution plan satisfies the statutory requirements under the Insolvency and Bankruptcy Code, judicial interference with the commercial wisdom of lenders is impermissible.Judicial Member Kishore Vemulapalli noted that the plan met all requirements under the Code and the...

NCLT Directs 33 Schools Using 'Presidium' Brand to Deposit Trademark Revenue Into CIRP Account

The National Company Law Tribunal (NCLT) at New Delhi has directed 33 schools operating under the “Presidium” name to render accounts of amounts received and profits generated from use of the trademark and deposit the same into the Corporate Insolvency Resolution Process (CIRP) account of Presidium Educational Institution Private Limited. A coram of Judicial Member Manni Sankariah Shanmuga Sundaram and Technical Member Atul Chaturvedi held that the continued use of the trademark without a...

RP Cannot Refuse Creditor Substitution Merely Because CoC Has Approved Resolution Plan: NCLT Kolkata

The National Company Law Tribunal at Kolkata has held that a resolution professional cannot refuse substitution of a financial creditor merely because the corporate insolvency resolution process has progressed substantially or because a resolution plan has been approved by the Committee of Creditors (CoC) but is yet to receive approval of the adjudicating authority.A coram of Judicial Member Bidisha Banerjee and Technical Member Siddharth Mishra observed that under the insolvency law, a valid...

NCLT Approves ₹919-Crore Oberoi Realty-Led Plan To Revive Hotel Horizon

The National Company Law Tribunal (NCLT) at Mumbai has approved a Rs 919-crore resolution plan submitted by a consortium comprising Oberoi Realty Ltd, Shree Aman Developers Pvt Ltd and JM Financial Properties and Holdings Ltd for the revival of debt-laden Hotel Horizon Pvt Ltd. A bench comprising Judicial Member Sushil Mahadeorao Kochey and Technical Member Prabhat Kumar noted that the resolution plan complied with all mandatory provisions of the Insolvency and Bankruptcy Code and applicable...

NCLT Mumbai Admits Smaaash Leisure To Insolvency Over Rs. 32 Crore Unpaid Debt

The National Company Law Tribunal (NCLT) at Mumbai has admitted an insolvency petition filed by J.C. Flower Asset Reconstruction Ltd against Smaash Leisure Ltd, a popular Indian gaming and entertainment company engaged in sports simulation technology and virtual reality games, for default of Rs. 32.19 crores.Smaaash Entertainment is the operational entity that runs and markets the “Smaaash” brand, while Smaaash Leisure Ltd is a group company. Smaaash, which had undergone insolvency proceedings,...

Supreme Court Asks NCLT To Re-Examine RP Appointment In Finefacilis Personal Guarantor Insolvency

The Supreme Court recently sent the issue of appointing a resolution professional in insolvency proceedings against a personal guarantor of Finefacilis Management Private Limited on a plea by Samman Capital back to the National Company Law Tribunal. It directed the tribunal to hear objections on whether the appointment followed the procedure under the Insolvency and Bankruptcy Code. The NCLT has been asked to pass a fresh order on the Section 95 application (Personal Guarantor Insolvency) ...

Economic Survey 2025-26: IBC Delivers Higher Recoveries Over Earlier Regime Despite Delays

The Economic Survey 2025–26 has found that India's insolvency framework is delivering better returns to creditors than the system it replaced. At the same time, long delays continue to weigh on the resolution of stressed companies. The Survey notes that average recovery rates under the Insolvency and Bankruptcy Code are now around 30%. This is a clear improvement over the 15 to 20% recoveries seen under the pre-IBC regime. It reflects a structural shift in how insolvency is handled in the...