NATIONAL COMPANY LAW APPELLATE TRIBUNAL (NCLAT)

• State Bank of India v. Mahendra Kumar Jajodia, Company Appeal (AT) Insolvency No. 60 of 2022, Date of order 27.01.2022: The Hon’ble NCLAT held that initiation of Corporate Insolvency Resolution Process is not a pre-requisite to initiate Insolvency Resolution Process against the Personal Guarantor of a Corporate Debtor while dealing with the scope of Section 60(1) of IBC viz-a-viz Section 60(2) of IBC.
• Union Bank of India on behalf of the Committee of Creditors of Dewan Housing Finance Corporation Limited. VS Mr. Kapil Wadhawan & Ors. Company Appeal (AT) (Insolvency) No.393 of 2021, Date of Order: 27.02.2022: The Hon’ble NCLAT upheld that there was no scope for negotiations between the parties once the CoC has approved the Resolution Plan. Thus, contractual principles and common law remedies, which do not find a rope in the wording or the intent of the IBC, cannot be imported in the intervening period between the acceptances of the CoC Approved Resolution Plan and the approval of the plan by the Adjudicating Authority.
• Dheeraj Wadhawan v. The Administrator, Dewan Housing Finance Corporation Ltd. Company Appeal (at) (insolvency) no. 647 of 2021, Date of Judgment: 27.01.2022: The Hon’ble NCLAT held that there exists a difference between ‘Supersession of Directors’ under the RBI Act and ‘Suspension of Directors’ under the IBC and that a ‘Superseded Director’ who vacated office on supersession of Board under the RBI Act are not entitled to the notice of CoC meeting and has no right to participate in the meeting.
• M/s. Visisth Services Limited v. S. V. Ramani and Ors. COMPANY APPEAL (AT) (INSOLVENCY) No.896 of 2020 Date of order- 11-01-2022: The Hon’ble NCLAT held that the bidder cannot wriggle out of the contractual obligations arising out of acceptance of his bid and if the bidder is allowed to make a conditional offer to every bid, it would very well defeat the whole purpose of the auction process and dilute the provisions of IBC.