NCLAT Dismisses CIRP Plea By Durgapur Corporation Against Aryan Ispat, Cites Pre-Existing Dispute

The National Company Law Appellate Tribunal (NCLAT) at New Delhi has dismissed an appeal filed by Durgapur Corporation Private Limited against Aryan Ispat & Power Private Limited, reiterating that a Section 9 application must be rejected where there exists a pre-existing dispute between the parties. “The only thing that is to be looked into is that whether there is plausible contention. In the facts of the present case, we find that plausible contention was raised by the Corporate Debtor in...

NCLAT Upholds Secured Creditor Status Of Second Charge Holder Despite Non-Registration In Mirage Ceramics CIRP

The National Company Law Appellate Tribunal (NCALT) at New Delhi has upheld the classification of Kamlesh Mehta, a second charge holder, as a secured financial creditor of the corporate debtor, Mirage Ceramics Pvt. Ltd. It held that the absence of consent from the first charge holder and non-registration of charge under Section 77 of the Companies Act, 2013 did not vitiate the second charge in the facts of the case. A bench of Judicial Member Justice Ashok Bhushan and Technical Member Barun...

Loan Restructuring Need Not Be Treated As Modification Of Charge; Original Security Remains Valid: NCLAT

The National Company Law Appellate Tribunal (NCLAT) in Delhi has held that restructuring of loan facilities does not necessarily amount to modification of charge requiring fresh registration where the underlying security remains unchanged. “We are in agreement with the approach adopted by the Ld. Adjudicating Authority in construing the term modification liberally as the same will not prejudice the security interest of existing lenders and the restructuring of the facilities done by the lender...

NCLAT Sets Aside Insolvency Against Palavi Synthetics Guarantors After NCLT Miscalculated Limitation

The National Company Law Appellate Tribunal (NCLAT) at Delhi has set aside the admission of insolvency proceedings against personal guarantors of Palavi Synthetics Pvt. Ltd., holding that while a recovery decree gives rise to a fresh cause of action and a fresh limitation period, the NCLT had wrongly computed that limitation. A bench of Judicial Member Justice Mohd. Faiz Alam Khan and Technical Member Naresh Salecha observed, “since the decree was passed by the JR on 15.09.2017 the limitation...

NCLAT Orders IBBI Probe Into Ritzy Chemicals RP As He Allowed CoC Vote On Plan Without Full Disclosure

The National Company Law Appellate Tribunal (NCLAT) has directed an investigation by the Insolvency and Bankruptcy Board of India into the conduct of the resolution professional in the insolvency of Ritzy Chemicals Pvt. Ltd. after allowing the committee of creditors to vote on the resolution plan without being apprised of the pendency and details of avoidance transactions. The tribunal also dismissed appeals against rejection of the resolution plan. A bench of Judicial Member Justice Mohd....

NCLAT Dismisses Appeal In Green Soul CIRP, Says SRA Consortium Cannot Be Reconstituted After Plan Approval

The National Company Law Appellate Tribunal (NCLAT) at Delhi has dismissed an appeal by the successful resolution applicant consortium in the Corporate Insolvency Resolution Process of Green Soul Ergonomics Pvt. Ltd. The tribunal held that a consortium cannot change its composition after its resolution plan has already been approved by the Committee of Creditors. “When composition of consortium is changed subsequent to approval of resolution plan, it cannot be said that evaluation...

NCLAT Restores Plea Dismissed For Non-Appearance, Accepts Counsel's SC Engagement As Explanation

Holding that counsel's appearance before the Supreme Court sufficiently explained his absence, the National Company Law Appellate Tribunal (NCLAT) restored an insolvency plea that had been dismissed for non-appearance before the National Company Law Tribunal (NCLT). The bench, comprising Judicial Member Justice Mohammad Faiz Alam Khan and Technical Member Naresh Salecha, said: “In view of above, we are of the considered opinion that sufficient explanation has been given by the Appellant on non...

NCLAT Reduces ₹1 Lakh Cost To ₹10 Thousand On Unity SFB For Delay In Paying RP Fee

The National Company Law Appellate Tribunal (NCLAT) at Delhi recently reduced the cost imposed on Unity Small Finance Bank from Rs 1 lakh to Rs 10,000 in each case for a delay of nearly three weeks in paying the fee of a resolution professional appointed in insolvency proceedings against a personal guarantor. A bench of Chairperson Justice Ashok Bhushan and Technical Member Barun Mitra held, “We are of the view that it was well within the discretion of the Adjudicating Authority to impose...

NCLAT Says It Cannot Allow Insolvency Appeal On Settlement, Corrects 'Inadvertent Error' In Earlier Order

The National Company Law Appellate Tribunal (NCLAT) at Delhi recently clarified that once insolvency proceedings have commenced, they cannot be brought to an end merely on the basis of a private settlement between parties and must follow the statutory process before the adjudicating authority. A bench of Judicial Member Justice N. Seshasayee and Technical Member Arun Baroka clarified this while correcting an error in its earlier order. “Therefore, even assuming that the applicant has made any...

Late CIRP Claims Under IBC Cannot Be Entertained After CoC Process Resolution Plan: NCLAT Chennai

The Chennai Bench of the National Company Law Appellate Tribunal (NCLAT) on 9 April, held that claims which are not filed and substantiated in accordance with the Insolvency and Bankruptcy Code, 2016 and the Corporate Insolvency Resolution Process (CIRP) Regulations cannot be entertained at an advanced stage of the CIRP, particularly after the resolution plan has been processed by the Committee of Creditors (CoC). The Bench comprising Judicial Member Justice Sharad Kumar Sharma and Technical...

NCLAT Sets Aside NCLT Order Replacing RP, Says It Cannot Act As 'Moral Guardian'

The National Company Law Appellate Tribunal (NCLAT) at Delhi has set aside an order of the National Company Law Tribunal (NCLT) which had replaced the Resolution Professional (RP) chosen by the Committee of Creditors (CoC) with its own nominee, observing that the adjudicating authority cannot act as a “moral guardian.”The order came on appeals filed by 17 homebuyer-allottees of Three C Projects Pvt. Ltd., a real estate company undergoing insolvency proceedings. A bench of Chairperson Justice...

NCLAT New Delhi Says SEBI Order Cannot Be Tested In IBC, Upholds Ineligibility Under Section 29A(f)

The New Delhi Bench of the National Company Law Appellate Tribunal (NCLAT) on 20 April dismissed an appeal filed by Carnet Elias Fernandes, suspended director of GEI Industrial Systems Ltd., challenging the National Company Law Tribunal (NCLT) Indore Bench order dated 17 February 2026. The NCLT had rejected his application seeking a declaration that he was not ineligible under Section 29A(e) and 29A(f) of the Insolvency and Bankruptcy Code (IBC). A Bench comprising Chairperson Justice Ashok...