CIRP time extension and lockdown exclusion limited where statutory additional period remained available

The Tribunal considered whether the corporate insolvency resolution process period could be extended by excluding the Covid lockdown period and whether time beyond the initial 180 days could be granted. It found that the CIRP was due to expire on 21 August 2020 and that a further 90 days remained available under the governing framework. On that basis, the request to exclude 160 days of lockdown was declined, while limited additional time was granted to complete the CIRP within the statutory scheme.

---

---

Issues: Whether the corporate insolvency resolution process period could be extended by excluding the Covid lockdown period, and whether further time beyond 180 days was liable to be granted.

Analysis: The application sought exclusion of the lockdown period from 23 March 2020 to 31 August 2020 while the 180-day CIRP period was nearing expiry. The Tribunal found that the CIRP period was expiring on 21 August 2020 and that, under the governing provision, a further 90 days was still available. In these circumstances, exclusion of the entire claimed lockdown period was not warranted, but additional time could be granted within the statutory framework.

Conclusion: The prayer for exemption of 160 days was declined, and further 90 days was granted to complete the CIRP.

Final Conclusion: The application was disposed of by granting limited extension of time for completion of the insolvency resolution process, while refusing the broader exclusion sought for the lockdown period.

Ratio Decidendi: Where the statute already permits a further period of extension, a blanket exclusion of the claimed lockdown duration need not be granted if limited statutory extension adequately addresses completion of the CIRP.

---