The object of IBC is to ensure that the insolvent company is put back on its feet and not to disarray a solvent and financially sound company – Prism Johnson Ltd. Vs. Doosan Power Systems India Pvt. Ltd. – NCLT New Delhi Bench Court-II
March 20, 2023
Adjudicating Authority held that while examining an application under Section 9 of IBC, 2016, we may not be oblivious about the financial health of the Corporate Debtor. The object of the IBC is to ensure that the insolvent company is put back on its feet and not to disarray a solvent and financially sound company. In the wake of the discussion and finding as above, we are of the considered view that the Petition is misconceived and devoid of merits thus deserves to be rejected. Ordered accordingly. It goes without saying that nothing observed or recorded hereinabove will be construed as expression of opinion on merit of the claim of the Petitioner against the Respondent and the Petitioner would be entitled to avail appropriate remedies against the Respondent to espouse the same in accordance with law.