Page 2 - Nclt Cases

NCLAT orders NCLT to hear afresh insolvency plea by APL Apollo Tubes

The National Company Law Appellate Tribunal (NCLAT) has directed the NCLT to hear afresh the insolvency plea filed by APL Apollo Tubes against one of its purchasers of goods. A two-member bench came down heavily on the Bengaluru bench of the National Company Law Tribunal (NCLT) for rejecting claims of APL Apollo Tubes on the "hypothetical interpretation". The NCLAT said the tribunal "should refrain from stepping into the shoes of a litigating party by substituting their own finding in the absence of there being any pleading evidence". The appellate tribunal has directed the NCLT to make all efforts to decide proceedings as expeditiously as possible. The NCLAT order came over a petition filed by APL Apollo Tubes against an order of the NCLT, which, on September 9, 2019, dismissed its insolvency plea filed as an operational creditor against Tanisha Scaffolding. Tanisha Scaffolding was engaged in marketing the products manufactured by APL Apollo Tubes. Some amount against supplies wa

NCLT orders proceeding against Supernova developer Supertech Realtors

The National Company Law Tribunal (NCLT) has ordered initiating an insolvency proceeding against Supertech Realtors, which is developing a residential apartment, office, retail and luxury hotel at its Supernova project. A two-member Delhi bench of NCLT admitted the insolvency plea filed by the Bank of Maharashtra over a default of Rs 168.04 crore and appointed Anju Agarwal as interim resolution professional (IRP), suspending the board of Supertech Realtors, a step-down subsidiary of Supertech. Supertech is also facing a Corporate Insolvency Resolution Process (CIRP). Supertech Realtors is developing Supernova project at a cost of Rs 2,326.14 crore on a land admeasuring 70,002 square metres at Sector 94, Noida. As per the plans, Supernova project will have 80 floors and will be the tallest building in Delhi-NCR at a height of 300 metres. For the project, Supertech Realtors approached a consortium of lenders led by Union Bank of India seeking a financial assistance of Rs 7,35.58 cro

NCLT directs edtech major Byju's to keep status quo on shareholding

This means that Byju's is restricted from issuing shares and using funds raised from a $200 million rights issue until the tribunal decides the matter

Go First on last leg of extension from NCLT to complete insolvency process

The lenders of the airline include the Bank of Baroda, the Central Bank of India, and IDBI Bank

Rajnish Kumar, Mohandas Pai to leave edtech major Byju's advisory council

The company said that characterising a routine move as 'a setback' is exaggerated and attention-seeking

At 269, NCLT approves record resolutions under IBC in FY24: IBBI data

However, it is still taking 679 days on average to conclude the resolution process, as against the standard timeline of 330 days

NCLT registers 43% increase in debt resolution amid many bottlenecks: IBBI

Amid several bottlenecks, the Insolvency Bankruptcy Board of India (IBBI) declared 2023-24 as a landmark year, with the National Company Law Tribunal achieving a significant 43 per cent increase in resolutions, jumping from 189 cases last year to 270 this year. The IBBI is expected to submit a report to the government over the next 2-3 months for including mediation in the Insolvency and Bankruptcy Code (IBC), which is currently under discussion and scrutiny. The regulator is also working on prepackaged insolvency for large corporate cases, which is only allowed in MSME cases as of now. For the first time in a year, the number of outputs has increased from the number of inputs, reducing the pendency across India, said Sudhaker Shukla, an IBBI whole-time member, while addressing the CII organised 7th Insolvency and Bankruptcy Code conclave. He said that despite bottlenecks in the last seven years, resolution of 3.5 lakh crore was achieved, and 27,000 applications worth Rs 10 lakh cr

NCLT admits personal insolvency plea against Zee's Subhash Chandra

Zee's Subhash Chandra had argued that the NCLT cannot rule on an individual's insolvency

Expert panel suggests adoption of voluntary mediation in insolvency cases

The committee also noted that not all scenarios under the IBC are fit for resolution through mediation. For instance, issues such as avoidance transactions are excluded

Key shareholders of Byju's call for EGM, want CEO Raveendran to quit

The current board of Byju's parent Think and Learn mainly consists of Raveendran, his wife and Byju's co-founder Divya Gokulnath, and his brother Riju Ravindran

Zee-Sony merger: NCLT issues notice to Sony to file reply in three weeks

The National Company Law Tribunal (NCLT) on Tuesday accepted a petition by a Zee Entertainment shareholder seeking the merger of its Indian entity with Sony, which was called off last week despite regulatory approvals. The Mumbai-bench of NCLT issued a notice on a petition moved by Mad Men Film Ventures, a shareholder of Zee Entertainment Enterprises (ZEEL), directing Sony Pictures Network India, now known as Culver Max, to file a reply within three weeks. Mad Men Film Ventures on Tuesday filed the petition requesting both ZEEL and Sony to implement the merger as it was approved by the NCLT in August 2023. The tribunal did not agree to the arguments made by the counsel stating that the approval by NCLT was conditional and depended on various conditions, which may be fulfilled or waived off in writing. NCLT has kept the next date of hearing on this matter on March 12. Last week, the Sony Group Corp called off the merger with ZEEL following a stalemate over who will lead the merged

US lenders take Byju's to NCLT to initiate insolvency proceedings

The lenders said this was done after over 16 months of efforts on behalf of the Ad Hoc Group to restructure the loans

Byju's vs BCCI: Edtech wants arbitrator to decide Rs 158 crore dispute

The firm claimed before the NCLT that it is in talks with the BCCI to settle the payment dispute. However, the BCCI reportedly denied and told the tribunal that no negotiations were underway

67% of ongoing corporate insolvency resolution cases cross 270-day timeline

Although IBC leaves little room for interference, objections by erstwhile promoters or the suspended board of corporate debtor, competing resolution applicants, and dissatisfied creditors are many

NCLT Mumbai approves sale of Reliance Communications real estate assets

Insolvency tribunal NCLT Mumbai has approved the sale of some of the real estate assets of telecom company Reliance Communications, a regulatory filing said on Wednesday. The filing attached an order of the National Company Law Tribunal's Mumbai bench in the matter of application filed by the resolution professional of Reliance Communications (RCom), seeking approval from the NCLT for undertaking the sale of certain unencumbered assets of the company. "...this Tribunal clarifies that the Applicant/RP can sell assets of the Corporate Debtor (as described in Para 1 above) under Regulation 29 of the CIRP Regulations after submission of the resolution plan for approval by this Tribunal," the NCLT order dated December 7 said. Resolution professional can sell assets of the company after submission of the resolution plan for approval by the tribunal, according to the order. "This Tribunal accords its approval to the Applicant to conduct the sale of the Assets of the Corporate Debtor in te

How India's bankruptcy code framework is undergoing a quiet makeover

The insolvency regulator has in fact sought public comments on all the regulations it has notified under the code

NCLT approves Tata Steel Long Products' amalgamation with Tata Steel

Tata Steel Long Products Ltd on Thursday said the National Company Law Tribunal (NCLT) has approved the amalgamation of the company with Tata Steel Ltd. Tata Steel is to merge Tata Steel Long Products and six other subsidiaries with itself. In a regulatory filing, Tata Steel Long Products said the NCLT's Cuttack bench, on October 18, sanctioned the scheme of amalgamation of the company with Tata Steel. Earlier, Tata Steel CEO & MD T V Narendran had said the merger of the subsidiary companies with itself is expected to be completed in 2023-24. The subsidiaries to be merged with Tata Steel are Tata Steel Long Products, The Tinplate Company of India, Tata Metaliks, TRF, Indian Steel & Wire Products, Tata Steel Mining and S&T Mining Company.

Finolex case: SC issues notices to NCLAT judicial member, technical member

In an unusual move, the Supreme Court on Wednesday issued notices to the National Company Law Appellate Tribunal judicial member Rakesh Kumar and technical member Alok Srivastava, asking them why contempt proceedings be not initiated against them for defying apex court orders in Finolex Cables disputes matter. A bench headed by Chief Justice DY Chandrachud took strong exception to the passing of a judgement by the NCLAT bench. The top court set aside the NCLAT bench's October 13 judgement relating to the annual general meeting (AGM) of Finolex Cables without going into its merit. The bench also comprising Justices JB Pardiwala and Manoj Misra said the case would be heard by NCLAT chief Justice Ashok Bhushan. "NCLAT has got down to a rot now. This case is an illustration of that rot.We are prima facie of the view that the members of the NCLAT have failed to disclose correct facts. "We are of the view that it is necessary to pass orders to ensure that the dignity of this court is ..

Resolution professional questions timing of cos cancelling Go First leases

Engine lessors tell NCLT moratorium for airline doesn't apply; arguments to continue on Sept 22

NCLAT allows Go First's airplane lessor Jackson Square to inspect planes

The National Company Law Appellate Tribunal (NCLAT) has permitted Jackson Square Aviation Ireland Ltd to inspect aircraft that it has leased to crisis-hit airline Go First. A two-member NCLAT bench on Thursday disposed of the plea filed by the aircraft lessor for inspection. Jackson Square Aviation Ireland is the second lessor that has been allowed by the NCLAT to inspect its assets leased to now grounded Go First. Earlier, on August 18, 2023, the NCLAT allowed the Engine Lease Finance BV, the company that had leased the engine to Go First, to inspect its assets. During the proceedings, counsel appearing for Jackson Square Aviation Ireland submitted the order passed by the NCLAT on August 18, 2023, and sought similar direction. Consenting to this NCLAT said: "We are of the view that this Appeal is fully covered by the aforesaid judgment. This Appeal is also disposed of in terms of the order dated August 18, 2023." Earlier NCLT had rejected Go First lessors' petitions to take back