The IL&FS Group has petitioned the National Company Law Appellate Tribunal (NCLAT) for permission to divest its stake, without shareholders’ consent, in Category II companies facing insolvency. These companies are burdened with unsustainable debts, necessitating a resolution strategy sans shareholder approval. IL&FS emphasizes that stakeholders, including lenders and shareholders, would inevitably undergo a financial adjustment. This approach aims at ensuring
The National Company Law Tribunal (NCLT) has ruled against Shripal Morakhia, the founder of Smaaash Entertainment Private Ltd, in his plea alleging misconduct by the company’s resolution professional (RP). The tribunal clarified that it lacks jurisdiction to address RP misconduct and initiate disciplinary actions, stating that such matters fall under the purview of the Insolvency and Bankruptcy Board of India
The National Company Law Tribunal (NCLT) has accepted an insolvency petition lodged by Chennai-based Wiz Logtec India Private Limited against Vivimed Life Sciences, a subsidiary of Strides Pharma Science Limited. The petition stemmed from Vivimed’s failure to settle a debt amounting to Rs 1.37 crore. Initiating the Corporate Insolvency Resolution Process (CIRP), Wiz Logtec cited Vivimed’s non-payment of Rs 1.21
The National Company Law Appellate Tribunal (NCLAT) in New Delhi, chaired by Justice Ashok Bhushan and Technical Member Mr. Barun Mitra, has ruled that a Corporate Debtor remains liable for discharging its operational debt, even if an insurance claim has been settled with the Operational Creditor. The decision clarifies that the insurance payment to the Operational Creditor cannot serve as
The workers’ union of Birla Tyres has taken its plea to the National Company Law Appellate Tribunal (NCLAT), challenging the recent sanction of the resolution plan by the Kolkata bench of the National Company Law Tribunal (NCLT). Representing 307 workers, the union initially filed claims totaling around Rs 31.47 crore for the settlement of pending wages. However, the resolution professional
Private sector lender Axis Bank has taken a significant step by filing a petition under Section 7 of the Insolvency and Bankruptcy Code (IBC) against education services provider Zee Learn. The move aims to instigate Corporate Insolvency Resolution Process (CIRP) for Zee Learn, marking another development in the company’s financial struggles. Zee Learn confirmed receiving a notice from the Mumbai
The Insolvency and Bankruptcy Board of India (IBBI) has amplified its efforts to expedite insolvency resolutions by finalizing a provisional list of 787 insolvency professionals (IPs), a substantial increase from the 400 listed in June. This comprehensive list, complemented by 31 insolvency professional entities (IPEs), is poised to be presented to the adjudicating authority. The move aims to streamline the
The National Company Law Tribunal (NCLT) has granted approval for the demerger of Thermax’s subsidiaries, Thermax Cooling Solutions Ltd (TCSL) and Thermax Instrumentation Ltd (TIL), as per a regulatory filing on December 25, 2023. This move aims to streamline operations and enhance management focus on Thermax Instrumentation’s business post-demerger, bringing complementary businesses under a consolidated entity for increased scalability and
The National Company Law Tribunal (NCLT) has granted approval to the resolution plan for Reliance Communications Infrastructure Limited (RCIL), a subsidiary of the insolvent Reliance Communications Limited. The endorsed plan was submitted by Reliance Projects and Property Management Services Limited, selected by the Committee of Creditors during their meeting on August 5, 2021. Subsequently, the resolution professional of RCIL filed
The National Company Law Appellate Tribunal (NCLAT) has granted approval to the settlement proposal submitted by the promoter of Appu Hotels Limited, the owner of the renowned Tamil Nadu-based luxury hotel brand, Le Royal Meridien. This decision marks a pivotal moment as it not only allows the settlement but also terminates the resolution process of the company. The NCLAT order
