Page 15 - Nclat

Coffee Day Global settles with creditor; NCLAT sets aside insolvency order

On July 20, the Bengaluru bench of NCLT had directed the initiation of insolvency proceedings against CDGL

NCLAT dismisses operational creditor's insolvency plea against Wipro

The National Company Law Appellate Tribunal has dismissed an operational creditor's petition to initiate insolvency proceedings against Wipro Ltd. A two-member Chennai bench of the appellate tribunal held earlier that there was a pre-existing dispute over the payment between Wipro and the petitioner and observed that the Insolvency and Bankruptcy Code was not framed for being a "mere recovery legislation for creditors". The National Company Law Appellate Tribunal (NCLAT) has upheld the order of the NCLT. Earlier, the Bengaluru Bench of the National Company Law Tribunal (NCLT), on January 16, 2020, dismissed the plea by Tricolite Electrical Industries in the capacity of operational creditor. The order was challenged by the Delhi-based operational creditor, a manufacturer of 'LT/ HT Electric Panels' before the appellate body NCLAT. However, the NCLAT also dismissed it after observing, "We are satisfied that a dispute' truly existed for the Respondent Company (Wipro) to have withheld

NCLAT issues notice seeking Zee Entertainment's reply over IDBI Bank's plea

The National Company Law Appellate Tribunal (NCLAT) on Thursday issued notice to Zee Entertainment Enterprises Ltd (ZEEL) over a petition filed by private sector lender IDBI Bank, directing it to file a reply within two weeks. The private lender has challenged an NCLT order, which on May 19 rejected a plea to initiate insolvency proceedings against the media major. An NCLAT bench comprising Chairperson Justice Ashok Bhushan and Member Barun Mitra also granted two weeks to IDBI Bank to file rejoinder and directed to list the matter on October 11 for the next hearing. The Mumbai bench of the National Company Law Tribunal (NCLT) on May 19, 2023, set aside the bank's plea, seeking insolvency against media major Zee Entertainment, observing that it was barred under Section 10A of the Insolvency & Bankruptcy Code (IBC). In its order, the NCLT bench said that Zee Entertainment Enterprises Ltd (ZEEL), which was the corporate guarantor for the loan availed by Siti Networks -- the ...

JKC gets time till Sept-end to pay Jet Airways lenders Rs 350 crore dues

The date for the payment was earlier set for 31 August, but JKC had sought an extension

Jet Airways case: NCLAT extends time till Sep 30 for JKC to pay Rs 350 cr

The National Company Law Appellate Tribunal (NCLAT) on Monday extended the time till September 30 for Jalan-Kalrock Consortium for payment of Rs 350 crore to the lenders of the bankrupt Jet Airways. A three-member NCLAT bench accepted the plea of the consortium to extend the timeline and also for adjustment of Rs 150 crore from performance bank guarantee (PBG) towards payment of Rs 350 crore. The consortium has submitted an undertaking before the appellate tribunal, in which it had committed to pay Rs 100 crore by August 31, 2023 and another Rs 100 crore by September 30, 2023. For the rest Rs 150 crore, the consortium had requested the appellate tribunal to encash the PBG submitted for that purpose. Jalan-Kalrock Consortium had emerged as the winning bidder for the airline, which stopped flying in April 2019 and later underwent an insolvency resolution process. The NCLAT order is yet to be uploaded on NCLAT website. Earlier, the consortium was to pay Rs 350 crore to the lenders b

NCLAT reserves order on Jalan-Kalrock Consortium's plea in Jet Airways case

The National Company Law Appellate Tribunal (NCLAT) on Monday reserved its order on Jalan-Kalrock Consortium's plea seeking more time to make payments to the lenders of the bankrupt Jet Airways. The consortium had emerged as the winning bidder for the airline, which stopped flying in April 2019 and later underwent an insolvency resolution process. The consortium is to pay Rs 350 crore to the lenders by August 31 but has sought an extension for making the payment. A three-member NCLAT bench said it will pass the order on next Monday and has granted three days' time to the parties to file their written submissions. "Heard learned counsel for the parties... orders on August 28, 2023. Parties are at liberty to file their short notes of submission of not more than three pages within three days," the appellate tribunal said. The bench would also decide the consortium's plea to consider a performance bank guarantee of Rs 150 crore as part of the payment of Rs 350 crore. The consortium h

Jet Airways insolvency: NCLAT asks consortium to file application on terms

The National Company Law Appellate Tribunal on Friday asked the Jalan-Kalrock consortium, the winning bidder for bankrupt Jet Airways, to file an application within 24 hours, explaining the modalities for payment of Rs 350 crore to the lenders. The appellate tribunal has also directed the Committee of Creditors of Jet Airways to file a response over the consortium's application stating the condition for an extension for the payment. "Learned Counsel for the Respondent (consortium) seeks liberty and is allowed to file an application within 24 hours. Response to the application be filed by the appellant (lenders) by the date fixed," said NCLAT. A two-member NCLAT bench comprising Chairperson Justice Ashok Bhushan and Barun Mitra has directed to list this appeal on August 21 for the next hearing. It also allowed the consortium "to file hard copy of the Application regarding payment of gratuity etc" to the employees of Jet Airways. During the proceedings, the Committee of Creditors (C

NCLAT allows Go First lessor to conduct inspection, modifies NCLT order

Lessors told appellate tribunal each aircraft engine is valued at $15 mn and needs upkeep

NCLAT permits Engine Lease Finance to inspect its jet engines with Go First

The National Company Law Appellate Tribunal (NCLAT) on Friday allowed Engine Lease Finance BV to inspect their four engines leased to crisis-hit carrier Go First. A two-member bench of the appellate tribunal granted relief to Engine Lease Finance (ELF) after modifying the earlier order of the National Company Law Tribunal (NCLT) on July 26. NCLAT has directed the resolution professional of Go First, which is going through the corporate insolvency resolution process (CIRP), to allow the world's leading independent engine financing and leasing company to inspect the engines within 10 days of the order. "We are of the view that inspection be permitted within 10 days from today," said an NCLAT bench comprising Chairperson Justice Ashok Bhushan and Barun Mitra. During the proceedings, counsel for the resolution professional submitted that in view of the orders passed by the Delhi High Court, the inspection shall be allowed, and the date for carrying out the inspection shall be intimated

JKC seeks additional time to pay Rs 350 crore to Jet Airways' lenders

The appellate tribunal instructed JKC to file an application, stating the revised schedule of the payment within 24 hours, and posted the matter for August 21

Dadheech Infra case: NCLAT upholds NCLT's insolvency proceedings verdict

The National Company Law Appellate Tribunal (NCLAT) on Thursday dismissed a petition against the NCLT order allowing the initiation of insolvency resolution proceedings against Dadheech Infrastructures. While upholding the National Company Law Tribunal's ruling in the case, the NCLAT also flagged that "unreasonable and unexplained delays in delivering verdicts are not desirable". The NCLT had reserved its order in December 2022 and pronounced the order only in June this year. The Kolkata bench of the National Company Law Tribunal (NCLT) in June this year allowed initiating Corporate Insolvency Resolution Process (CIRP) against Dadheech Infrastructures on a plea filed by SREI Equipment Finance, which itself is undergoing CIRP. The decision of the NCLT was challenged by way of a petition by Sanjeev Kumar Sharma, who was a director on the now-suspended board of Dadheech Infrastructures. A two-member NCLAT bench said it was satisfied with the findings recorded by the Kolkata Bench of t

Govt extends deadline to apply for judicial posts at NCLAT till Sept 1

The Ministry of Corporate Affairs (MCA) on Thursday said it has extended the deadline for submitting applications for the post of judicial and technical members at NCLAT till September 1. Earlier, the deadline to submit the applications was July 5, according to a notice issued by the MCA. "To widen the participation of candidates and attract the best talent, it has been decided to accept further applications, with the last date for submission of the online application being extended to September 1, 2023," the notice said. All other terms and conditions of the vacancy circular, including eligibility criteria, age limit, and qualification, for the posts remain unchanged, it added. In June this year, the government invited applications for three judicial members and two technical members at the National Company Law Appellate Tribunal (NCLAT). The principal bench of NCLAT is in the national capital, while another bench is in Chennai.

NCLAT agrees to hear IDBI Bank's appeal against ZEEL on August 31

In May 2023, the NCLT's Mumbai bench refused to entertain the IDBI's plea, stating that it was barred under Section 10A of the Insolvency and Bankruptcy Code (IBC)

NCLAT stays insolvency of Coffee Day Global till next hearing on Sep 20

In a relief to Coffee Day Global Ltd (CDGL), which owns and operates popular Cafe Coffee Day chain, the National Company Law Appellate Tribunal (NCLAT) on Friday stayed an order of NCLT that directed initiation of insolvency proceedings against the company. Passing an interim order, a two-member tribunal of the Chennai bench of the appellate tribunal, issued notices to the Interim Resolution professional and its financial creditor IndusInd Bank and stayed the operations of the order passed by the Bengaluru Bench of the National Company Law Tribunal (NCLT). The NCLAT said it has "found that there are arguable points involved in this appeal, therefore, we issue a formal notice to the Respondents who are already on caveat, enabling it to file its reply." It has directed IRP and IndusInd Bank to file a reply within two weeks up to August 25, 2023, and a rejoinder, if any, be filed by CDGL within two weeks and directed to list the matter for hearing on September 20, 2023. "In the ...

NCLAT set aside CUTS' petition seeking CCI probe in PVR INOX merger

The National Company Law Appellate Tribunal (NCLAT) on Thursday dismissed a plea seeking an investigation by the fair trade regulator CCI over the merger of two leading multiplex operators PVR and INOX. NCLAT rejected the petition by Consumer Unity & Trust Society (CUTS) observing that the fair trade regulator has rightly observed that even if the merger is concluded, their dominance in the film exhibition industry per se is not anti-competitive. CUTS had challenged an order by the Competition Commission of India which rejected its plea on September 13, 2022, for seeking an investigation into the merger. However, during the pendency of the appeal the Mumbai bench of the National Company Law Tribunal (NCLT), approved the merger on February 16, 2023, sanctioned the scheme of merger by absorption of the Inox with PVR. In its petition CUTS said transaction is exempted from the notification requirement under Section 5 of the Competition Act as it qualifies for the de minimus ...

May withdraw NCLAT appeal if Jalan-Kalrock deposits Rs 350 cr: Jet lenders

The appeal filed by the State Bank of India, the chief creditor to Jet Airways, is related to the transfer of the ownership of Jet Airways to the Jalan-Kalrock consortium

NCLAT defers hearing on IDBI Bank's plea against Zee to August 17

The National Company Law Appellate Tribunal (NCLAT) on Wednesday deferred the hearing of IDBI bank's plea against Zee Entertainment till August 17. The private lender has challenged an NCLT order, which had on May 19 rejected its plea to initiate insolvency proceedings against the media major. On Wednesday, when the matter came for hearing, lawyers sought adjournment. On this, NCLT bench comprising Chairperson Justice Ashok Bhushan and Member Barun Mitra deferred the matter to August 17. The Mumbai bench of the National Company Law Tribunal (NCLT) had on May 19, 2023, set aside the bank's plea, seeking insolvency against media major Zee Entertainment, observing that it was barred under Section 10A of the Insolvency & Bankruptcy Code (IBC). In its order, the NCLT bench had said that Zee Entertainment Enterprises Ltd (ZEEL), which was the corporate guarantor for the loan availed by Siti Networks -- the principal Borrower of IDBI Bank -- has committed a default. However, the default

IDBI Bank moves NCLAT against Zee Entertainment to challenge NCLT order

IDBI bank has moved the National Company Law Appellate Tribunal (NCLAT) against Zee Entertainment to challenge an NCLT order, which rejected the private lender's plea to initiate insolvency proceedings against the media major. IDBI's petition has been listed for hearing on Wednesday before a bench comprising Chairperson Justice Ashok Bhushan and Member Barun Mitra. The Mumbai bench of the National Company Law Tribunal (NCLT) had on May 19, 2023, set aside the bank's plea, seeking insolvency against media major Zee Entertainment, observing that it was barred under Section 10A of the Insolvency & Bankruptcy Code (IBC). Earlier in the day, ZEEL in a regulatory filing also informed: "An appeal has been filed by IDBI Bank Limited before the NCLAT, Delhi, challenging the order passed by the NCLT dated May 19, 2023". In its order, the NCLT bench had said that ZEEL, which was the corporate guarantor for the loan availed by Siti Networks -- the principal Borrower of IDBI Bank -- has ...

NCLAT dismisses all challenges to AGI Greenpac's acquisition of HNG

In March 2023, the Competition Commission of India had granted approval to AGI Greenpac's takeover of HNG

NCLAT to decide over NCLT order on insolvency against Coffee Day Global

An appeal has been filed before the National Company Law Appellate Tribunal (NCLAT) challenging the NCLT order to initiate insolvency proceedings against Coffee Day Global Ltd (CDGL), which owns and operates the popular chain Cafe Coffee Day. Malavika Hegde, the suspended Director of CDGL, has approached the Chennai bench of NCLAT against the National Company Law Tribunal (NCLT) order to initiate Corporate Insolvency Resolution Process (CIRP) against Coffee Day Global. The application, seeking a stay on the NCLT order, was listed for hearing before a NCLAT bench comprising Justice Rakesh Kumar Jain and Shreesha Merla on Friday. Earlier on July 20, the Bengaluru bench of the NCLT passed an order over a plea filed by IndusInd Bank, a financial creditor of the company, claiming dues of Rs 94 crore. The NCLT had also appointed Shailendra Ajmera as the interim resolution professional after suspending the board. The order has been challenged by Malavika Hegde, a director on the suspende