18/09/2018

An exception had been carved out while enacting the Code that the Financial Service Providers have been kept outside the purview of the Code-Randhiraj Thakur, Director, Mayfair Capital (P) Ltd. Vs. M/s. Jindal Saxena Financial Services (P) Ltd. – NCLAT

If the entire scheme of the I&B Code is seen, it will be evident that the Code is to consolidate and amend the laws relating to reorganisation and insolvency resolution of ‘corporate persons’, ‘partnership firms’ and ‘individual’ in a time bound manner. It is a self-contained Code which is exhaustive in nature when it comes to reorganisation and insolvency resolution. However, an exception had been carved out while enacting the Code that the ‘financial service providers’ have been kept outside the purview of the Code. Being a consolidating legislation only those acts are permitted which are mentioned in the Code and it cannot be made applicable to ‘financial service providers’ including ‘non-banking financial institutions’ and MFI’s banks, which have been kept outside the purview of the Code.

An exception had been carved out while enacting the Code that the Financial Service Providers have been kept outside the purview of the Code-Randhiraj Thakur, Director, Mayfair Capital (P) Ltd. Vs. M/s. Jindal Saxena Financial Services (P) Ltd. – NCLAT Read Post »

Issuance of demand notice by advocate cannot be a ground to reject the application- Shaw Traders Vs. Balaji Paper & Newsprint Pvt. Ltd. – NCLAT

In so far as issuance of demand notice by advocate is concerned, the case being covered by decision of the Hon’ble Supreme Court in ‘Macquarie Bank Limited’ Vs ‘Shilpi Cable Technologies Ltd.’ in Civil Appeals No. 15135, 15481 and 15447 of 2017 on 15th December, 2017, cannot be a ground to reject the application.

Issuance of demand notice by advocate cannot be a ground to reject the application- Shaw Traders Vs. Balaji Paper & Newsprint Pvt. Ltd. – NCLAT Read Post »

In absence of any provision of review of the scheme sanctioned u/s 31(1) of the I&B Code, no relief can be granted to M/s. Hada Textile Industries Ltd.- M/s. Hada Textile Industries Limited Vs. Commercial Taxes, Kolkata & Ors. – NCLAT

Even if it is deemed to be a ‘resolution plan’ under sub-section (1) of Section 31 of the I&B Code, the said plan can be dealt with in terms of the provisions of Part II of the I&B Code. In absence of any provision to review the scheme already sanctioned under sub-section (1) of Section 31 of the I&B Code, the Adjudicating Authority held that the scheme having already approved and as the company failed to turn its net worth positive within the period of sanctioned scheme, it will be presumed that the ‘corporate applicant’ has violated the sanctioned scheme, which will result in liquidation proceedings.

In absence of any provision of review of the scheme sanctioned u/s 31(1) of the I&B Code, no relief can be granted to M/s. Hada Textile Industries Ltd.- M/s. Hada Textile Industries Limited Vs. Commercial Taxes, Kolkata & Ors. – NCLAT Read Post »

Scroll to Top