No need to hear third party during insolvency admission: NCLAT tells NCLT

NCLAT observation came during a case where admission was pending for 10 months

The National Company Law Appellate Tribunal (NCLAT) has said that the National Company Law Tribunal (NCLT) should not hear any third party other than the applicant who has taken a company to the NCLT and the company which is the corporate debtor itself.

“We may observe that except the applicant (financial creditor) and the corporate debtor, there is no requirement of hearing a third party including intervenor at the stage of admission,” the NCLAT said. IDBI Bank had moved NCLAT against the repeated adjournments in NCLT Kolkata during the corporate insolvency resolution case filed by it against Odisha Slurry Pipeline