Financial Creditor has taken other steps of execution proceedings against decree passed by High Court in terms of the settlement is no ground to not accept the Section 7 Petition under IBC – Mr. Rakesh Kumar Jain Vs. ADTV Communications Pvt. Ltd. – NCLAT New Delhi
The Hon’ble NCLAT held that IBC is a complete Code in itself and in view of the provisions of Section 238 of the Code, the provisions of the IBC would prevail, notwithstanding anything inconsistent therewith in any other law for the time being in force. Section 238 of the Code contains the non-obstante clause of the widest terms possible and therefore the code will prevail over other provisions. The fact that the Appellant/Financial Creditor had also taken other steps of execution proceedings before the Hon’ble High Court of Delhi is no ground to not accept the Section 7 Petition. Thus, the Appellant is indeed a Financial Creditor within the meaning of Section 5(7) and Section 5(8) of the IBC.