Application u/s 10 can be rejected on the ground that the Corporate Debtor is earning sufficient income – Vyomit Shares Stock & Investments Pvt. Ltd. Vs. Securities and Exchange Board of India (SEBI)-NCLAT
May 20, 2019
The ‘Corporate Applicant’ filed an application u/s 10 of Insolvency & Bankruptcy Code (‘I&B’ Code), 2016 for initiation of Corporate Insolvency Resolution Process against it. The Adjudicating Authority, National Company Law Tribunal (in short ‘NCLT’), Mumbai Bench by impugned order dated 12th February, 2019 rejected the application on the ground that the ‘Corporate Debtor’ is earning sufficient income. Therefore, prima facie, it appears that there is no reason for the Appellant or the ‘Corporate Debtor’ to declare itself eligible for filing an application u/s 10 of Insolvency & Bankruptcy Code (‘I&B’ Code), 2016