NCLAT Restores Insolvency Petition Dismissed After Counsel Missed Hearing

The National Company Law Appellate Tribunal (NCLAT), Delhi, has held that an insolvency petition dismissed for want of prosecution can be sought to be restored through a restoration application accompanied by a plea for condonation of delay. The tribunal ruled that a litigant should not be made to suffer when the non-appearance was due to a bona fide mistake by counsel.The bench comprised Judicial Member Justice Sharad Kumar Sharma and Technical Member Indevar Pandey.“Rule 48(2) of the NCLT...

Mere Notice Seeking Reply In SFIO Investigation Application Not Appealable: NCLAT New Delhi

On 18 August, the New Delhi National Company Law Appellate Tribunal (NCLAT) held that an order merely directing parties to issue notice and file replies does not cause immediate prejudice and cannot form the subject matter of an appeal. A Bench comprising Judicial Member Justice Sharad Kumar Sharma and Technical Member Indevar Pandey dismissed CFM Asset Reconstruction Pvt. Ltd.'s appeal against an interim order of the Delhi Bench of the National Company Law Tribunal (NCLT). The Tribunal...

NCLAT New Delhi Dismisses Chemstar Director's Appeal Against CIRP Admission Over ₹11.87 Crore Claim

On 18 August, the New Delhi National Company Law Appellate Tribunal (NCLAT) held that the National Company Law Tribunal (NCLT) need not determine the exact quantum of dues while admitting a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC), once debt and default are established and the default exceeds the statutory threshold of Rs. 1 crore. A Bench comprising Officiating Chairperson Justice Yogesh Khanna and Technical Member Ajai Das Mehrotra made the observation while...

NCLAT Dismisses Byju Raveendran's Appeal Against Glas Trust's Voting Share In BYJU'S' Committee of Creditors

The National Company Law Appellate Tribunal (NCLAT), Chennai, on Monday dismissed an appeal filed by Byju Raveendran, suspended director and promoter of Think & Learn Pvt. Ltd., challenging Glas Trust's majority voting share in the company's Committee of Creditors (CoC).The NCLT order had merely listed for hearing Byju's application challenging Glas Trust's majority voting share in the Committee of Creditors (CoC) of Think & Learn Pvt. Ltd.A bench of Judicial Member Justice N. Seshasayee...

'Law Shows Greater Sympathy To Debt-Trapped Individuals': NCLAT Gives Guarantors Fresh Chance For Relief

The National Company Law Appellate Tribunal (NCLAT), Chennai, has observed that the law shows greater sympathy towards debt-trapped individuals than debt-trapped companies. It held that this approach gives tribunals greater flexibility to consider relief from bankruptcy.It has given a family of personal guarantors a fresh opportunity to work towards repayment and seek relief from bankruptcy despite their earlier failure to submit a repayment plan.The bench of Judicial Member Justice N....

NCLAT New Delhi Says IRP Cannot Keep Creditors And Homebuyers Satisfied In Real Estate Insolvency

The New Delhi National Company Law Appellate Tribunal (NCLAT) on 4 August held that an Interim Resolution Professional (IRP) cannot be expected to keep all stakeholders satisfied in a real estate insolvency process, where financial creditors and homebuyers have inherently conflicting interests. A Bench of Judicial Member Justice Mohd Faiz Alam Khan and Technical Member Naresh Salecha dismissed appeals seeking the replacement of the IRP in the insolvency proceedings of Swastik Homebuild Pvt....

Time-Barred Insolvency Plea Can Be Rejected Without RP Appointment: NCLAT New Delhi

On 7 August, the New Delhi National Company Law Appellate Tribunal (NCLAT) held that the National Company Law Tribunal (NCLT) can reject a personal guarantor's insolvency application at the threshold if it is ex facie barred by limitation, without first appointing a Resolution Professional (RP) under Section 97 of the Insolvency and Bankruptcy Code, 2016 (IBC). A Bench of Judicial Member Justice Mohd Faiz Alam Khan with Technical Members Arun Baroka and Indevar Pandey dismissed the appeal...

NCLAT Dismisses Tropical Ventures' Plea To Halt Distribution Of INCAB Resolution Plan Funds

The National Company Law Appellate Tribunal (NCLAT) at Delhi has recently dismissed an application filed by Tropical Ventures Company Ltd. seeking to prevent distribution of funds under Vedanta Ltd.'s resolution plan for INCAB Industries Ltd.Tropical filed the application while its challenge to the NCLAT's June 30, 2026, judgment was pending before the Supreme Court. It wanted the amount under the resolution plan to be kept in an interest-bearing account until its ₹295 crore claim was finally...

NCLAT Allows Party To Contest Ex-Parte Proceedings, Says Parties Shouldn't Be Penalised For Counsel's Mistakes

The National Company Law Appellate Tribunal (NCLAT), New Delhi, has observed that an advocate's duty extends beyond diligently conducting a case.It includes maintaining regular communication with the client and informing them about the status of proceedings.A bench of Judicial Member Justice Mohammad Faiz Alam Khan and Technical Member Naresh Salecha made the observation while setting aside an NCLT order that had dismissed an application seeking recall of an order setting proceedings...

NCLAT Reserves Orders On Ex-Employee's Challenge To Jet Airways Aircraft Sale

The National Company Law Appellate Tribunal (NCLAT) on Thursday reserved orders on an appeal filed by former Jet Airways employee Aman Monga challenging the dismissal of his application seeking to set aside the sale of certain Boeing 777-300ER aircraft assets during the airline's liquidation proceedings. The bench of Judicial Member Justice Mohammad Faiz Alam Khan and Technical Member Arun Baroka also granted the parties three days to file written submissions not exceeding two pages.The appeal...

NCLAT Upholds Order Directing Suspended Log 9 Directors To Help Gensol RP Recover Leased EVs

The National Company Law Appellate Tribunal (NCLAT) has upheld directions requiring the suspended directors of electric mobility company Log 9 Mobility Pvt. Ltd. to assist the resolution professional (RP) of EV leasing company Gensol EV Lease Ltd. in identifying and recovering leased electric vehicles. It ruled that the National Company Law Tribunal (NCLT) has wide powers under Section 60(5) of the Insolvency and Bankruptcy Code (IBC) to issue such directions during insolvency proceedings.A...

NCLAT New Delhi Sets Aside Monte Carlo Insolvency Order After Settlement & Prior Dispute Admission

The New Delhi National Company Law Appellate Tribunal (NCLAT) on 3 August held that an insolvency process cannot continue once the operational creditor's claim has been fully settled and the creditor has no objection to setting aside the admission order. A Bench comprising Judicial Member Justice Mohd Faiz Alam Khan with Technical Members Indevar Pandey and Arun Baroke set aside the order passed by the Ahmedabad Bench of the National Company Law Tribunal (NCLT) admitting the Section 9 petition...