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The amount, which has been deposited with the Registrar General, may be reclaimed by the Official Liquidator with accrued interest and the same may be brought within the corpus of the funds of the company (in liquidation) to be utilised for satisfaction of the claims of the secured stakeholders in accordance with law- Delhi HC 

SMT. USHA JAIN & ANR. vs M/S VIGNESHWARA DEVELOPWELL P. LTD CO Pet 145 of 2014  Facts: 1. Petitioners herein jointly applied for allotment of a commercial unit admeasuring 500…

Continue Reading The amount, which has been deposited with the Registrar General, may be reclaimed by the Official Liquidator with accrued interest and the same may be brought within the corpus of the funds of the company (in liquidation) to be utilised for satisfaction of the claims of the secured stakeholders in accordance with law- Delhi HC 

There is no prohibition or bar imposed by the IBC towards payment of dues arising from essential services supply during CIRP period nor is there any statutory provision which stipulates that the Corporate Debtor is not liable to pay such amounts till completion of the period of moratorium-NCLAT

SANSKRITI ALLOTTEE WELFARE ASSOCIATION (RETD.) AND ORS. VS GAURAV KATIYAR CA AT 873 of 2023 Facts: 1. Corporate Debtor- Earthcon Infracon Pvt. Ltd. was developing a residential project named ‘Sanskriti’…

Continue Reading There is no prohibition or bar imposed by the IBC towards payment of dues arising from essential services supply during CIRP period nor is there any statutory provision which stipulates that the Corporate Debtor is not liable to pay such amounts till completion of the period of moratorium-NCLAT

The essential element of disbursal and that too against the consideration for time value of money, needs to be found in the genesis of any debt before it may be treated as ‘financial debt’ within the meaning of Section 5(8) of the Code. The term “disburse” is comprised of two elements, namely (i) the departing of money from the creditor and (ii) its availability, upon such departure, to the corporate debtor for utilisation.-NCLT  Mumbai

Capri Global Capital Ltd V/s Monarch Brookfields LLP IA 70/2022 In C.P. (IB)/2517(MB)2018  Facts: 1) Monarch Brookfield LLP, Monarch Universal, Monarch Realty Management Services Ltd, Monarch Imperials and Monarch Lifescapes…

Continue Reading The essential element of disbursal and that too against the consideration for time value of money, needs to be found in the genesis of any debt before it may be treated as ‘financial debt’ within the meaning of Section 5(8) of the Code. The term “disburse” is comprised of two elements, namely (i) the departing of money from the creditor and (ii) its availability, upon such departure, to the corporate debtor for utilisation.-NCLT  Mumbai

 As per Regulation 6(2)(b)(i) of the IBBI (Insolvency Resolution Process for Corporate Persons) Regulations, 2016, the public announcement shall be published in one English and one regional language newspaper with wide circulation at the location of the registered office and principal office, if any, of the Corporate Debtor and any other location where in the opinion of the interim resolution professional, the Corporate Debtor conducts material business operations. Thus, it is not mandatory to make an announcement in the newspapers having wide circulation across the state or country or across the location where the Applicants reside-NCLT Mumbai

Ms. Sneha Kore and Anr vs Mr. Arun Kapoor Resolution Professional of Monarch Brookefields LLP IA No. 4154 of 2023 In CP (IB) No. 2517(MB) of 2018 Facts: 1) Corporate…

Continue Reading  As per Regulation 6(2)(b)(i) of the IBBI (Insolvency Resolution Process for Corporate Persons) Regulations, 2016, the public announcement shall be published in one English and one regional language newspaper with wide circulation at the location of the registered office and principal office, if any, of the Corporate Debtor and any other location where in the opinion of the interim resolution professional, the Corporate Debtor conducts material business operations. Thus, it is not mandatory to make an announcement in the newspapers having wide circulation across the state or country or across the location where the Applicants reside-NCLT Mumbai

Enactment of Section 66 has to be read with the objects and features of the Code, implying that any proceeding under IBC, is in the nature of a summary proceeding and for any court of competent jurisdiction to declare a transaction to be fraudulent or wrongful, a higher degree of proof and verification / trial is required-NCLT Guwahati 

Kamal Agarwal vs Guatam Saha IA (IBC)/17/GB/2022 In CP (IB)/3/GB/2020 Facts: 1) Interlocutory Application i.e. IA (IBC)/17/GB/2022 has been filed under Section 66 of the Insolvency and Bankruptcy Code, 2016.…

Continue Reading Enactment of Section 66 has to be read with the objects and features of the Code, implying that any proceeding under IBC, is in the nature of a summary proceeding and for any court of competent jurisdiction to declare a transaction to be fraudulent or wrongful, a higher degree of proof and verification / trial is required-NCLT Guwahati 

One cannot be oblivious of the fact that dynamics of Insolvency and Bankruptcy Code, 2016are different which represent a paradigm shift from the earlier regime under the Companies Act. Therefore, whatever was relevant at pre-winding upstage in proceedings under the Companies Act cannot be said to germane at pre-admission stage of section 7. Besides, winding up of a company under the Companies Act cannot be equated its resolution under the IB Code, 2016-NCLT

Bank of Baroda vs Arch Pharmalabs Limited. INTERVENTION PETITION No. 26 OF 2024 IN C.P. (IB) - 686 (MB)/2023 Facts: 1) Intervention Petition been filed by JM Financial Asset Reconstruction…

Continue Reading One cannot be oblivious of the fact that dynamics of Insolvency and Bankruptcy Code, 2016are different which represent a paradigm shift from the earlier regime under the Companies Act. Therefore, whatever was relevant at pre-winding upstage in proceedings under the Companies Act cannot be said to germane at pre-admission stage of section 7. Besides, winding up of a company under the Companies Act cannot be equated its resolution under the IB Code, 2016-NCLT

Related Parties Of The Corporate Debtor Cannot Circumvent Proviso To Section 21(2) Of IBC By Assignment Of Financial Debt To A Third Party: NCLAT 

Peanence Commercial Pvt. Ltd. & Ors. v. Mamta Binani (RP for Rolta India Limited CA 905 of 2024  Facts: 1) CIRP commenced against the Corporate Debtor – Rolta India Limited…

Continue Reading Related Parties Of The Corporate Debtor Cannot Circumvent Proviso To Section 21(2) Of IBC By Assignment Of Financial Debt To A Third Party: NCLAT 

The effect of offence under Section 452 of the Companies Act, being a continuing offence, only is that for the offence under Section 452 of the Companies Act, fresh period of limitation begins to run with each day that the accused wrongfully withholds the property of the Company; the period of limitation however, remains to be six months-Delhi HC

YOGESH CHANDAR GOYAL & ORS vs THE STATE & ANR.CRL.M.C. 888/2022 Facts: 1) Petition has been filed under Section 482 of the Code of Criminal Procedure, 1973 (in short, „Cr.P.C.‟),…

Continue Reading The effect of offence under Section 452 of the Companies Act, being a continuing offence, only is that for the offence under Section 452 of the Companies Act, fresh period of limitation begins to run with each day that the accused wrongfully withholds the property of the Company; the period of limitation however, remains to be six months-Delhi HC

Declaration cum Undertaking by the guarantor will extend further period of three years from date of undertaking-NCLAT 

Shrenik Ashokbhai Morakhia vs Reliance Asset Reconstruction Company Ltd. Company Appeal (AT) (Insolvency) No. 719 of 2024 Facts: 1. Dena Bank has issued a Sanction Letter dated 18.06.2012 to the…

Continue Reading Declaration cum Undertaking by the guarantor will extend further period of three years from date of undertaking-NCLAT 

The Adjudicating Authority with the limited powers of judicial review available to it cannot substitute its views with the commercial wisdom of the CoC. The Adjudicating Authority can reject the resolution plan only when there is noncompliance of Section 30(2) of IBC-NCLAT 

Shri Madhukar Shetty vs Bank of Baroda Company Appeal (AT) (Insolvency) No. 739-740 of 2024 Facts: 1) Corporate Debtor-Genesis Resorts Pvt. Ltd. had availed a loan of Rs.149.05 cr from…

Continue Reading The Adjudicating Authority with the limited powers of judicial review available to it cannot substitute its views with the commercial wisdom of the CoC. The Adjudicating Authority can reject the resolution plan only when there is noncompliance of Section 30(2) of IBC-NCLAT