Neither the Code, not the rules framed thereunder confers any power to the Adjudicating Authority to interfere with the process of inspection and investigation initiated by the IBBI, not does it have the power to direct the IBBI to take or not to take actions – Insolvency and Bankruptcy Board of India Vs. Aditya Kumar Proposed IRP of Adjoin Built & Developers Pvt. Ltd – NCLAT New Delhi
NCLAT set aside the impugned order placing reliance on the Judgment of the Hon’ble Supreme Court in the case of K. Sashidhar Vs. Indian Overseas Bank & Ors. [2019] ibclaw.in 08 SC and held that this Appellate Tribunal in the case of Mohan Gems & Jewels Pvt. Ltd. Vs. Vijay Verma & Ors. (2021) ibclaw.in 402 NCLAT and Insolvency and Bankruptcy Board of India Vs. Shri Rishi Prakash Vats & Ors. [2019] ibclaw.in 99 NCLAT, has held similar view, the ratio of which is discussed in the aforenoted paras 9 and 10. Therefore, we are of the considered view that the impugned orders passed by the Adjudicating Authority cannot be sustained in the eye of law.
