LiveLawBiz: Corporate Legal News Daily Round-Up: September 03, 2026

IBC NCLT Mandates Double-Sided Printing For All Filings To Promote Sustainability and UniformityClerical Mistake In CIRP Form Causing No Impact on Approved Resolution Plan Not Gross Dereliction: NCLATHomebuyers Cannot Be Made To Bear Penal Charges For Project Delays As CIRP Costs: Supreme CourtPublic CIRP Announcement Creates Presumption Of Knowledge Of Moratorium: NCLATNCLT Mumbai Directs Former Directors To Pay ₹344.58 Crore Over Fraudulent Diversion Of DHFL LoanNCLT Ahmedabad Rejects...

Homebuyers Cannot Be Made To Bear Penal Charges For Project Delays As CIRP Costs: Supreme Court

The Supreme Court has ruled in a case that time extension charges imposed for delays caused by a defaulting developer are penal in nature. They cannot be passed on to homebuyers as costs of the Corporate Insolvency Resolution Process (CIRP), observing that the default was that of the developer and homebuyers could not be made to bear that liability."The time extension charges in any event are penal in nature and the developer who has caused the default having ended up in a CIRP, the inclusion as...

LiveLawBiz IBC Monthly Digest: August 2026

SUPREME COURT IBC Moratorium Applies Only To Corporate Debtor, Not Directors Or Promoters: Supreme CourtCase Title : TEJAS J.SHAH & AMISHA T. SHAH & ORS VERSUS MANTRI TECHNOLOGY CONSTELLATIONS PVT.LTD. Case Number : CIVIL APPEAL NOS.4289-4290 OF 2025 CITATION : 2026 LLBiz SC 248The Supreme Court on Monday held that the moratorium under Section 14 of the Insolvency and Bankruptcy Code, 2016, operates only against the corporate debtor. It ruled that courts or adjudicating authorities...

LiveLawBiz IPR Monthly Digest: August, 2026

SUPREME COURTSupreme Court Upholds PepsiCo's Lay's Potato Variety RegistrationCase Title: Kavitha Kuruganti Versus PepsiCo India Holdings Pvt. Ltd.Case Number: Special Leave Petition (C) Nos.10320-10321 of 2024Citation: 2026 LLBiz SC 260The Supreme Court has upheld a Delhi High Court order concerning PepsiCo's registration of its Lay's potato variety. The top court clarified that farmers can claim protection under the Protection of Plant Varieties and Farmers' Rights (PPVFR) Act if PepsiCo...

Banks Can Use SARFAESI To Recover Dues Under Loans Acquired From Non-Notified Institutions: Supreme Court

The Supreme Court has ruled that a bank can use the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002, commonly known as the SARFAESI Act, to recover a secured loan it acquired from an entity not covered by the law. This applies even if the original lender was not covered by the Act when the loan was granted.Justices Sanjay Kumar and Sanjeev Sachdeva ruled,“When the institution is one to which the SARFAESI Act is already applicable, acquisition...

NSE Clearing's Settlement Committee Cannot Order Restitution Of Liquidated Client Securities: Supreme Court

The Supreme Court on Wednesday ruled that the Member and Core Settlement Guarantee Fund Committee constituted by NSE Clearing Corporation had no statutory or bye-law power to direct Professional Clearing Members to restore securities liquidated after Trading Members defaulted.A Bench of Justice J.B. Pardiwala and Justice K. Vinod Chandran held:“This is in stark violation of the power conferred by the statute and the byelaws also do not speak of any such power being conferred of disgorgement or...

GST Authority Not Bound To Seek Additional Documents: Supreme Court Refuses To Interfere With Delhi HC Order

The Supreme Court on Thursday dismissed an appeal against the Delhi High Court's order holding that a GST adjudicating authority is not bound to seek additional documents or clarifications from a taxpayer before passing an order merely because it finds the material already furnished insufficient. The case arose from a plea by Sodexo India Services Private Limited challenging the GST adjudication order.The High Court dismissed its challenge to a GST demand of around ₹8.75 crore under Section 74...

Supreme Court Upholds RBI's Decision To Supersede Abhyudaya Co-operative Bank Board, Appoint Administrator

The Supreme Court on Thursday refused to interfere with the Bombay High Court's November 18, 2024 judgment upholding the Reserve Bank of India's decision to supersede the Board of Directors of Abhyudaya Co-operative Bank Ltd. and appoint an Administrator for the bank.The Bombay High Court had rejected the challenge to RBI's November 24, 2023 order superseding the bank's Board for one year under Section 36AAA read with Section 56 of the Banking Regulation Act, 1949. The High Court held that the...

Supreme Court Sets Aside ₹425.28 Crore Customs Penalty Over Fake Citations, AI Hallucinations

The Supreme Court has set aside a customs penalty of ₹425.28 crore against a diamond trader after finding that the adjudicating authority had relied on non-existent judgments and fake citations.It also found that legal propositions had been wrongly attributed to existing judgments, which the Court said appeared to be a “hallucination of AI”.A Division Bench of Justices Dipankar Datta and Sheel Nagu set aside the Gujarat High Court's January 20, 2026, order that had dismissed Vijay Ghanshyam...

Supreme Court Allows Adani To Enforce Coal Mining Contract Awards Against UPRVUNL If UCM Assets Fall Short

The Supreme Court has refused to interfere with a ruling permitting Adani Enterprises Ltd to pursue execution proceedings against Uttar Pradesh Rajya Vidyut Utpadan Nigam Ltd and other constituent entities of UCM Coal Company Ltd. It clarified, however, that Adani's claim must first be satisfied through UCM Coal Company's assets. Execution against the other entities can proceed only if any amount remains unpaid.A bench comprising Chief Justice of India Surya Kant, Justice Joymalya Bagchi and...

Termination of Insolvency Process Cannot Be Challenged When Order Also Granted Relief: Supreme Court

The Supreme Court has dismissed a creditor's appeal against the termination of a company's insolvency process, observing that it failed to understand how the order could be challenged when the proceedings had been terminated and relief had also been granted through that termination.“Termination of legal proceedings cannot be a ground for assailing the same particularly when the relief has also granted by such termination of legal proceedings viz., Corporate Insolvency Resolution Process (CIRP)...

NCLT Bengaluru Orders Status Quo After Claims That Byju's Assets Worth ₹150 Crore Were Auctioned for ₹16 Crore

The National Company Law Tribunal, Bengaluru, has recently directed the Resolution Professional of Byju's and the successful bidder to maintain the status quo over auctioned assets. The order came after the Resolution Professional of Byju K3 claimed that assets worth about ₹150 crore had been auctioned for about ₹16 crore despite an ownership dispute. The tribunal found that ownership of some of the assets remained unclear.“Even if part of the auctioned articles actually belonged to TLPL, the...