Notification to section 4 of IBC, increased minimum amount of default, shall be considered as prospective and not retrospective – Foseco India Limited Vs. Om Boseco Rail Products Limited – NCLT Kolkata Bench
NCLT held that it is a well settled law that a statute is presumed to be prospective unless it is held to be retrospective, either expressly or by necessary implication. When the amendment to section 4 of IBC was, inserted a proviso enhancing the pecuniary jurisdiction for filing applications as against small and medium scale industries nowhere in the notification mentioned that its application will be retrospective. Therefore, it appears to me that the amendment shall be considered as prospective and not retrospective.