National Company Law Tribunal (NCLT), Mumbai court restrained Future Group from calling shareholders meetings to seek approval for its proposed ₹24,713 crore asset sale to Reliance Industries Ltd, in a legal setback for the cash-strapped group. Following a hearing on Monday, the National Company Law Tribunal (NCLT) changed its earlier stance by stopping Future Group companies from holding the meetings.
Jet Airways employees have rejected the Kalrock-Jalan consortium’s offer under the resolution plan and have challenged the plan in the National Company Law Appellate Tribunal. Kalrock-Jalan consortium proposed a sum of Rs 52 crore to settle admitted employee claims of Rs 1,265 crore. Bharatiya Kamgar Sena (BKS) and Jet Airways Cabin Crew Association, on August 18, filed an appeal against
Section 11 of the IBC states that certain persons are not entitled to make applications for initiating a CORPORATE INSOLVENCY RESOLUTION PROCESS. These are: (a) a CORPORATE DEBTOR already undergoing a CORPORATE INSOLVENCY RESOLUTION PROCESS; (b) a CORPORATE DEBTOR that has completed a CORPORATE INSOLVENCY RESOLUTION PROCESS in the 12 months preceding the date of filing the application;(c) a CORPORATE
An INFORMATION UTILITY is defined in section 3(21) of the IBC as a “person” registered as such with the IBBI under section 210. The primary function of INFORMATION UTILITYs is to provide high quality authenticated information about debts and defaults, making them important from a public policy standpoint. Section 209 of the IBC specifies that no INFORMATION UTILITY can do
In the case of Vijay Kumar Jain vs. Standard Chartered Bank & Ors., the Apex Court held that the members of the suspended Board of Directors of a corporate debtor are vested with right to receive insolvency resolution plans submitted before the resolution professional so that they could effectively participate in the meetings of Committee of Creditors (CoC). The Supreme Court
After many conflicting decisions, the Supreme Court in Mobilox v Kirusa finally settled the issue regarding the interpretation of the term ‘dispute in existence’ under the Code. This provided much-needed relief and clarity to corporate debtors who may have a genuine dispute regarding the debt under consideration, but may not have yet initiated legal proceedings. The Court acknowledged the fact
JSW Steel Ltd. Vs. Mahender Kumar Khandelwal & Ors.-NCLAT In the CIRP of Bhushan Power & Steel Limited- (Corporate Debtor), the Resolution Plan submitted by JSW Steel Limited (Resolution Applicant) has been approved by the Adjudicating Authority by impugned Judgment dated 5th September, 2019 with certain conditions. After the approval of plan when Monitoring Committee was monitoring the change of
Information furnished from the Information Utility: a necessity? NCLT:DELHI In the recently held judgment – M/s Dhankalash Distributors Pvt Ltd vs M/s Arena Superstructures Pvt Ltd the Principal Bench had held that the information produced from the Information Utility is not necessary when other necessary documents are available to establish a debt/default. The corporate debtor had defaulted in repaying Principal
The IBC Ordinance, 2020 promulgated on June 5, 2020. The scheme stipulates and lays down extra norms for insolvency proceedings. The government had felt that operation of Section 7,9 and 10 should be suspended due to the economic distress faced during the pandemic. Negatives: “Section 10A: Suspension of initiation of corporate insolvency resolution process 10A. Notwithstanding anything contained in Sections
