Share Tweet Plus One Pin It Email Print By: Live Law December 12, 2018 7:08 pm Change Font Size The Supreme Court has held that winding up proceedings under the Sick Industrial Companies(Special Provisions) Act 1985 will continue in the High Court and not the National Company Law Tribunal. The bench of Justices R F Nariman and M R Shah held so in Jaipur Metal and Electricals Employees Organization vs Jaipur Metal and Electricals Ltd, which was an appeal against the judgment of the Rajasthan High Court which refused to transfer the winding up proceedings to the NCLT. The case related to winding up proceedings of the company Jaipur Metals and Electricals Ltd. When the company became debt ridden in 1997, it made an application for restructuring before the BIFR under the SICA. In 2002, the BIFR forwarded an opinion to the Rajasthan HC that the company ought to be wound up under Section 20 of the Act. Meanwhile, a workers union filed a writ petition seeking … [Read more...] about Winding Up Proceedings Under SICA Are To Continue In HC And Not NCLT : SC[ Read Judgment]
Share Tweet Plus One Pin It Email Print By: Akanksha Jain August 5, 2018 8:08 pm Change Font Size The Allahabad bench of National Company Law Tribunal has held that a homebuyer who subrogated all his rights in favour of the bank at the time of taking loan cannot be treated as a financial creditor under the Insolvency and Bankruptcy Code, 2016. A bench of Saroj Rajware and V P Singh said the petition filed by the homebuyer for initiating Corporate Insolvency Resolution Process is not maintainable as the agreement showed commutation of rights in favour of the bank. The Tribunal referred to Tripartite agreement which said that in the event of occurrence of default under the Loan Agreement which would result in the cancellation of the Allotment as a consequence thereof and/or for any reason whatsoever if the allotment is cancelled , any amount is payble to the Borrower in the event of cancellation in favour of the bank (HDFC, in the instant case). The … [Read more...] about Homebuyer Who Subrogated All Rights In Favour Of Bank Cannot Be Treated As Financial Creditor Under IBC, Says NCLT Allahabad [Read Order]
World International Affairs A week prior to the beginning of intense unrest in Nicaragua, the Immigration and Customs Enforcement has partnered with the Daniel Ortega administration in order to expedite the deportation of Nicaraguan nationals. According to an exclusive report by The Guardian, ICE is quietly working with the Ortega government to swiftly send Nicaraguans back to their country, despite the Trump administration’s seemingly harsh stance on the Central American nation’s government, which has witnessed massive protests sparked by reforms in the social security system. Washington and Managua have blamed each other for the months-old turmoil. This week, the White House said in a statement: “The United States strongly condemns the ongoing violence in Nicaragua and human rights abuses committed by the Ortega regime in response to protests.” It also added that “after years of fraudulent elections and the regime’s manipulation of … [Read more...] about ICE is Working With Daniel Ortega’s Government to Speed Up Deportation of Nicaraguans Despite Violence: Report
Share Tweet Plus One Pin It Email Print By: Akanksha Jain July 16, 2018 6:45 pm Change Font Size Can an Indian Limited Liability Partnership (LLP) be allowed to amalgamate with an Indian private limited company under a scheme of amalgamation filed before the National Company Law Tribunal (NCLT)? The NCLT has answered the question in affirmative. “…the legislative intent behind enacting both the LLP Act, 2008 and the Companies Act, 2013 is to facilitate the ease of doing business and create a desirable business atmosphere for companies and LLPs. “For this purpose, both the Acts have provided provisions for merger or amalgamation of two or more LLPs and companies,” noted the NCLT bench of Ch Mohd Sharief Tariq. “If the intention of Parliament is to permit a foreign LLP to merge with an Indian company, then it would be wrong to presume that the Act prohibits a merger of an Indian LLP with an Indian company. “Thus, there does not appear … [Read more...] about No Legal Bar On Indian LLP Merging With Indian Firm, Says NCLT [Read Order]
Share Tweet Plus One Pin It Email Print By: Ms.Suriti Chowdhary and Ms.Shivani Vij June 10, 2018 10:42 am Change Font Size Amidst the debate on homebuyers’ claims in insolvency disputes, the Ministry of Corporate Affairs formed the Insolvency Law Committee (“ILC”) which rendered its report in March 2018. Amongst other agendas, ILC focused on resolving the significant confusion regarding the status of homebuyers of under-construction apartments as creditors under the Insolvency and Bankruptcy Code, 2016 (“IBC”). Resultantly, moving forward with the ILC report, the President approved the Insolvency & Bankruptcy (Amendment) Ordinance 2018 (“IBC Ordinance”), which was notified with immediate effect on 06 June 2018. The IBC Ordinance has sought to resolve the difference in positions taken by the National Company Law Appellate Tribunal (“NCLAT”) and the Hon’ble Supreme Court of India, and henceforth … [Read more...] about Homebuyers Triggering IBC – Mischief Managed?