All about ‘Not Readily Realisable Assets(NRRA)’, valuation of PUFE Assets, who can pursue avoidance applications after assignment of NRRA, jurisdiction of NCLT after transfer of NRRA, When can NRRA be transferred to third party under Regulation 37A of Liquidation Regulations, 2017 – Inquest Fintech Pvt. Ltd. Vs. Ms. Maya Gupta Liquidator Rain Automotive India Pvt. Ltd. – NCLT New Delhi Bench Court-II
In this important judgment, NCLT New Delhi Bench Court-II comprising of Shri Ashok Kumar Bhardwaj and Shri L.N. Gupta has clarified various issues on transfer/assignment of ‘Not Readily Realisable Assets(NRRA)’ during the liquidation process under IBC such as:
(i) Valuation of “Not readily realisable assets” (NRRA) underlying the pending PUFE Applications are contingent assets
(ii) Who can pursue avoidance /PUFE Applications after the assignment of NRRA?
(iii) Objective of avoidance/ PUFE applications filed u/s 43, 45, 50, and 66 of IBC 2016
(iv) Whether Adjudicating Authority has jurisdiction to adjudicate the Avoidance/ PUFE Applications pursued by a Third Party or an Assignee when even the proceedings under Sections 43, 45, 50, and 66 are not concluded?
(v) When NRRA can be assigned/transferred to third party u/r 37A of the Liquidation Regulations?