The timelines as stipulated in the IBC need to be considered as of Directory nature and not as Mandatory in nature – Vikram Laxman Pawar Vs. Mr. Sripatham Venkatasubramaniam Ramkumar, RP of Privilege Industries Ltd. – NCLAT New Delhi
Hon’ble NCLAT held that it may also be worth considering that although the timeline as stipulated in the Code are sacrosanct and important and sometime critical for resolution of the Corporate Debtor in order to achieve the maximization of value of all the stakeholders, the timelines need to be considered as of directory nature and not as mandatory in nature.