Courts Cannot Touch Merits In Contempt Proceedings: Calcutta High Court Sets Aside NCLT Interim Order

The Calcutta High Court has recently reiterated that a court exercising contempt jurisdiction cannot travel beyond the four corners of the order alleged to have been violated or venture into the merits of the underlying dispute while setting aside part of a National Company Law Tribunal order that had allowed a liquidator to complete the sale of a company's assets. Justice Om Narayan Rai held that while exercising contempt jurisdiction, “the Court must confine itself to the four corners of the...

Commercial Transactions Cannot Later Be Recharacterised As Financial Debt To Invoke IBC: NCLT Chennai

The Chennai Bench of the National Company Law Tribunal (NCLT) on 5 May held that parties cannot subsequently recharacterise ordinary commercial transactions as financial debt to invoke insolvency proceedings under the Insolvency and Bankruptcy Code, 2016 (IBC). Judicial Member Jyoti Kumar Tripati and Technical Member Ravichandran Ramasamy dismissed Supreme Plascare India Private Limited's plea seeking initiation of the Corporate Insolvency Resolution Process (CIRP) against Shiroo Polymers...

LiveLawBiz IBC Weekly Digest: May 18 - May 23, 2026

SUPREME COURTSupreme Court Says Alleged 'Hallucinated' Citations By NCLT-NCLAT In Essel Infraprojects Case Under Examination Case Title : POOJA RAMESH SINGH vs JAMMU AND KASHMIR BANK LTD & ANR Case Number : CIVIL APPEAL No. 11950 of 2025The Supreme Court on Tuesday said allegations that the NCLT and NCLAT relied on allegedly fake citations in insolvency proceedings against Essel Infraprojects Ltd were already under administrative examination and had been referred to a...

'Enormous Delay': NCLT Bengaluru Refuses To Condone Delay In Punjab Tax Dept's Claim In Falcon Tyres Liquidation

The National Company Law Tribunal (NCLT) at Bengaluru recently refused to condone a 1,784-day delay and consequently declined to admit a belated ₹6.09 crore tax claim filed by the Punjab State Tax Department in the liquidation of Falcon Tyres Ltd. A bench of Judicial Member Sunil Kumar Aggarwal and Technical Member Radhakrishna Sreepada dismissed applications filed by the Assistant Commissioner of State Taxes, Jalandhar, seeking condonation of delay and admission of the claim arising under the...

Bombay High Court Orders Police To Ensure Hotel Horizon Property Handover, Flags Directors' Obstruction

The Bombay High Court recently (May 6) directed police to use reasonable force, if necessary, to ensure complete handover of Hotel Horizon Pvt Ltd's Juhu property to the successful resolution applicant. The court said the suspended directors were continuing to obstruct compliance with orders passed by the National Company Law Tribunal and the High Court.A Bench of Justices Manish Pitale and Shreeram V. Shirsat was hearing a plea by former resolution professional and interim manager Pravin R...

Pending Company Winding-Up Cases Before HC Transferable To NCLT Unless At Irreversible Stage: Calcutta HC

The Calcutta High Court has held that pending company winding-up petitions before High Courts can be transferred to the National Company Law Tribunal even after admission, a winding-up order, and appointment of an Official Liquidator, so long as the proceedings have not reached an irreversible stage.Relying on Supreme Court rulings on transfer of winding-up proceedings, a Division Bench of Justice Debangsu Basak and Justice Shabbar Rashidi observed: “Post admission of a winding up petition,...

Supreme Court Issues Notice In Plea Challenging HC Order Barring Registered Office Shift Pending NCLAT Appeals

On Friday, 22 May, the Supreme Court issued notice on a plea filed by Hindusthan National Glass & Industries Ltd, a corporate debtor, challenging the Calcutta High Court judgment dated 15 May 2026. The judgement had held that the company could not shift its registered office from Kolkata to Mumbai while appeals against its insolvency resolution plan remained pending before the NCLAT.A Division Bench of Justices Pamidighantam Sri Narasimha and Alok Aradhe, while issuing notice, declined to...

NCLAT New Delhi Rejects Pre-Existing Dispute Defence, Restores Ingram Micro Insolvency Plea

The New Delhi National Company Law Appellate Tribunal (NCLAT) on 21 May held that counterclaims relating to unrelated transactions cannot constitute a genuine pre-existing dispute under the Mobilox test and cannot defeat an application under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC). Chairperson Justice Ashok Bhushan and Technical Member Barun Mitra set aside the National Company Law Tribunal (NCLT), Delhi order rejecting Ingram Micro India Private Limited's Section 9...

Resolution Professional Cannot Be Passive Spectator In Personal Guarantor Insolvency Process: NCLT Ahmedabad

The National Company Law Tribunal (NCLT) at Ahmedabad has recently held that a resolution professional cannot remain a “passive spectator” and attribute delays in a personal guarantor insolvency process to the guarantor or the financial creditor without taking proactive steps. The tribunal made the observation while dismissing a plea to close the personal insolvency resolution process with liberty to initiate bankruptcy proceedings. A bench of Judicial Member Shammi Khan and Technical Member...

Oral Dispute Plea Without Supporting Material Does Not Establish Pre-Existing Dispute: NCLT Ahmedabad

The National Company Law Tribunal (NCLT) at Ahmedabad has recently held that a corporate debtor's plea of an oral dispute over allegedly defective goods, without any supporting material, does not establish the existence of a genuine dispute, while admitting an insolvency plea over unpaid operational debt. A bench of Judicial Member Shammi Khan and Technical Member Sanjeev Sharma observed, “The plea of oral dispute, in absence of any supporting material, does not establish existence of a...

Supreme Court Orders No Coercive Steps In Plea Seeking Bar On NI Act Proceedings During Personal Insolvency

Another plea has been filed in the Supreme Court seeking a declaration that proceedings under the Negotiable Instruments Act and the Payment and Settlement Systems Act cannot continue against personal guarantors once the interim moratorium under the Insolvency and Bankruptcy Code is triggered.The plea has been filed by Karan Bhatia, suspended director of Uttam Cylinders Pvt Ltd and a personal guarantor for the company's loans. A Bench of Chief Justice Surya Kant, Justice Joymalya Bagchi and...

Byju's Insolvency: Kerala High Court Strikes Off Voizzit Suit Over US Assets

The Kerala High Court on Thursday struck off a suit by Voizzit entities claiming rights over assets of BYJU'S US subsidiaries, holding that the proceedings were barred by the insolvency moratorium against BYJU'S parent Think & Learn Pvt. Ltd. Justice Easwaran S. passed the order on a petition filed by Claudia Z. Springer, the Chapter 11 Trustee appointed by the United States Bankruptcy Court for the District of Delaware in bankruptcy proceedings concerning BYJU'S US subsidiaries,...