TMI BlogAdjudicating Authority for corporate persons [ Section 60 ]X X X X Extracts X X X X X X X X Extracts X X X X ..... of IBC, 2016 ] Without prejudice to sub- section (1) and notwithstanding anything to the contrary contained in this Code, where a corporate insolvency resolution process or liquidation proceeding of a corporate debtor is pending before a National Company Law Tribunal, an application relating to the insolvency resolution or liquidation or bankruptcy of a corporate guarantor or personal guarantor, as the case may be, of such corporate debtor shall be filed before such National Company Law Tribunal. Transfer of Cases [ Section 60(3) of IBC, 2016 ] An insolvency resolution process or liquidation or bankruptcy proceeding of a corporate guarantor or personal guarantor, as the case may be, of the corporate deb ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... any suit or application by or against a corporate debtor for which an order of moratorium has been made under this Part, the period during which such moratorium is in place shall be excluded. Relevant Case Laws GE Power India Ltd. Vs. NHPC Ltd. 2020 (6) TMI 692, Delhi HC Dated 26.06.2020 Clause (c) sub-section (5) of section 60 of the Code vests the jurisdiction in AA to entertain and dispose of any question of priorities or any question of law or fact, arising out of or in relation to the insolvency resolution for liquidation proceedings. Therefore, the jurisdiction vested in AA while dealing with a resolution plan is of wide ambit and any question of law or fact in relation to the insolvency resolu ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the proceedings or pass appropriate orders in accordance with law. Such power having been vested with IBBI and in absence of such power being vested with AA, the AA cannot quash the disciplinary proceedings initiated by IBBI. Ilam Chand Kamboj Vs. ANG Industries Ltd. [CA (AT) (Ins.) No. 253 of 2019 and I.A. No. 995 of 2019] NCLAT order dt. 02.08.2019 The AA is not supposed to pass any adverse observations, even prima facie, against the RP, without giving an opportunity to him as to why in view of certain act, the matter be not referred to the IBBI. Union of India Vs. Maharashtra Tourism Development Corporation Anr. 2020 (2) TMI 390 - NCLAT Dated 02.12.2019 Section 212 of the Companies Act ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the CD, be transferred to the NCLT or, if initiated after such proceedings had been commenced against the CD, be filed only in the NCLT. State Bank of India Vs. D. S. Rajendra Kumar 2018 (6) TMI 763 - NCLAT Dated 18.04.2018 An order of moratorium will be applicable only to the proceedings against the CD and the personal guarantor, if pending before any court of law/tribunal or authority. However, this order of moratorium will not be applicable on filing of applications for triggering CIRP under sections 7 or 9 or 10 of the Code against the guarantor or the personal guarantor under section 60(2). Committee of Creditors of Essar Steel India Ltd. Vs. Satish Kumar Gupta Ors. 2019 (11) TMI 731 - SC D ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mal Enterprises Ltd . 2019 (2) TMI 316 - NCLAT Dated 08.01.2019 There is no bar in the Code against filing of two applications under section 7 simultaneously, against the principal borrower as well as the corporate guarantor or against both the guarantors. However, once for same set of claim, application under section 7 filed by the FC is admitted against one of the CDs (i.e. principal borrower or corporate guarantor), second application by the same FC for same set of claim and default cannot be admitted against the other CD (i.e. corporate guarantor or the principal borrower). Prasad Gempex Vs. Star Agro Marine Exports Pvt. Ltd. Anr. 2019 (6) TMI 460 - NCLAT Dated 02.05.2019 The AA has no jurisdicti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... . 2021 (3) TMI 340 - SC Dated 08.03.2021 i. NCLT/NCLAT can exercise jurisdiction under section 60(5)(c) of the Code to stay termination of contracts solely on account of CIRP being initiated against the CD. ii. NCLT has the jurisdiction to adjudicate disputes, which arise solely from or which relate to the insolvency of the CD; however, in doing so, the NCLT and NCLAT must ensure that they do not usurp the legitimate jurisdiction of other courts and tribunals. iii. RP can approach the NCLT for adjudication of disputes that are related to the insolvency resolution process. However, for adjudication of disputes out of the insolvency, the RP must approach the competent authority. iv. NCLT cannot do what the Code ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
