Does NCLAT have power to review or recall its judgment? NCLAT 5-member bench answers
A 5-member bench overturned two judgments delivered by 3-judge bench which held that the NCLAT does not have the power to review or recall its own judgements.
NCLT
Looking to a Settlement Mechanism for Avoidance Actions under the IBC
by Anoop Rawat†, Saurav Panda†† and Amrit Mahal†††
Cite as: 2023 SCC OnLine Blog Exp 51
Operational creditor cannot seek to initiate CIRP against Corporate Debtor when real dispute exists: NCLAT
The NCLAT set aside Adjudicating Authority’s order initiating CIRP of the Corporate Debtor.
Insolvency proceeding can be restored when Consent term entered between parties includes a revival clause: NCLAT
“When consent term itself contains clause for revival, non-giving liberty specifically for revival by the Adjudicating Authority is inconsequential”, held NCLAT
Can Corporate Debtor raise issue of pre-existing dispute if there is no evidence of any lacuna prior to demand notice? NCLAT answers
“The Adjudicating Authority does not appear to have committed any error in holding the alleged disputes claimed by the Corporate Debtor to be feeble as it is not supported by credible evidence.” NCLAT
An Advocate “for” Vidarbha
by Lavanya Pathak† and Akshay Sharma††
NCLAT modifies Rs Ten Lakh cost for being highly excessive
While speedily and effectively disposing off the present appeal, the NCLAT modified the imposed cost from Rs. 10,00,000/- to Rs. 1,00,000/- for the restoration of the company’s name in the register maintained by the ROC.
Tribunal Monthly Roundup May 2023 | Top Stories on Zee-Sony merger, compensation for rat bite in Cinema Hall, Go Air insolvency, and more
Know about why NGT formed Joint Committee for environmental norms violations in constructions at CM Kejriwal’s residence, relevancy of intent of Corporate Debtor, threshold limit under IBC Code, compensation in Ludhiana Gas Leak incident, etc.
No benefit to Corporate Debtor, if Criminal Proceedings were initiated after receipt of Demand Notice: NCLAT upholds NCLT’s order
While upholding NCLT’s order the NCLAT held that in the present case there is a debt which remained unpaid by the Operational Creditor.
Once a document admitted as evidence cannot be objected at a later stage: NCLAT
NCLAT held that once a document is relied upon as evidence and not objected to, it cannot be rejected or ignored.
[Zee-Sony merger] NCLAT sets aside NCLT order directing stock exchange to reconsider approval
NCLAT set aside the NCLT’s order and remitted back the matter to NCLT to examine the same after hearing both the parties.
Threshold limit includes both principal amount and interest under IBC; NCLAT set aside NCLT’s order
NCLAT held that the Adjudicating Authority committed error in rejecting the S. 7 application for not fulfilling ‘threshold’ when Deed of Guarantee mentions about the interest on default.
NCLT admits Go Air insolvency plea
A creditor has limited grounds to object to S. 10 of IBC application.
NCLT imposes exemplary cost of ₹ 5 Lakhs on Trimex Industries (P) Ltd for filing frivolous litigation
NCLT imposed cost to restain Trimex Industries (P) Ltd. from filing frivolous applications which consume Tribunal’s valuable resources and time.
Intent of Corporate Debtor irrelevant in establishing existence of preferential transaction: NCLAT
There is no need to prove any fraudulent intent for a preferential transaction as per S. 43 of the IBC.
What is the rule for settlement after constitution of ‘Committee of Creditors’? NCLAT Answers
“Any settlement after passing of the impugned order and after constitution of the CoC is only permissible when the same is approved with 90% vote share of CoC.”
Approaching police without resorting to special procedure under IB Code to arm twist the Resolution Professional is inappropriate: Madras High Court
Madras High Court said that there is no reason why the complaint was not filed either before IBBI or NCLT for the alleged fraud.
No embargo on Operational Creditor to file application u/S 9 IBC, even if agreement has an arbitration clause: NCLAT
The scope and objective of the Code is ‘Resolution’, and not a ‘Recovery Mode / Forum’.
To reject application under Sec. 9 IBC, a genuine pre-existing dispute must exist: NCLAT
The National Company Law Appellate Tribunal held that no pre-existing dispute regarding quality of supplied goods exist as the same was not raised before consumption of the goods.