When there is a clear statutory bar in entertaining an appeal u/s 42 of IBC, which is filed beyond the period prescribed under the statute, the NCLT cannot exercise its inherent powers and condone the delay – IFCI Ltd. Vs. BS Ltd., In liquidation – NCLT Hyderabad Bench
NCLT Hyderabad Bench held that Section 42, not only deals with the order of rejection, but also deals with the order of acceptance. There is no provision under Section 42 for condoning the delay in filing an appeal. When there is a clear statutory bar in entertaining an appeal u/s 42 of IBC, which is filed beyond the period prescribed under the statute, the NCLT cannot exercise its inherent powers and condone the delay.