Giving Notice to the Creditor at Pre- admission Stage is a matter of Case-By-Case Discretion under Section 10 of IBC 2016- Go Airlines (India) Ltd. case- By Khushi Laddha

The principal bench of the NCLT of New Delhi, comprising of Justice Ramalingam Sudhakar (President) and Shri L.N. Gupta (Technical Member), has ruled that there is no mandatory obligation to issue notice to creditors at the pre-admission stage under Section 10 of the IBC 2016. Rather, giving notice to creditors is a matter of discretion that must be exercised on a case-by-case basis on valid grounds. The bench made this decision while hearing a petition by Go Airlines (India) Ltd. for the initiation of CIRP under Section 10 of IBC 2016.