A party cannot invoke appellate jurisdiction under Section 61 of IBC, 2016 against main order of NCLT without giving a challenge to the order passed on IA, rejecting his intervention – M.K. Resely and Ors. Vs. Union Bank of India and Ors. – NCLAT Chennai
Hon’ble NCLAT interprets the word `Aggrieved Person’ in section 61 of IBC that:
(i) The “Aggrieved Person’’ in the context of the terminology used under Section 61 (1) of IBC, would be a person who has not been conscious of an Impugned Order that prejudices his material right and such person could still invoke an Appellate Jurisdiction by seeking the leave of the Court.
(ii) Merely because of the fact that they were heard or they were described as Additional Respondents, before the NCLT, they will not get the status of being a party to the proceedings which will enable them to file an Appeal.
(iii) Concealment of a fact or distortion of a fact would be a sufficient ground to decline the interference, while exercising the Appellate Jurisdiction under Section 61 of the I & B Code, 2016.