Corporate debtor appeals by suspended directors are incompetent once insolvency control vests in the interim resolution professional.

Once an interim resolution professional is appointed under the Insolvency and Bankruptcy Code, management of the corporate debtor vests in that professional, and a suspended director has no authority to file an appeal in the corporate debtor's name. An appeal instituted by such a director is incompetent from inception, not merely defective. The Code's limitation scheme permits only the prescribed filing period and a limited condonable extension, so an incompetent appeal cannot be cured by later amendment of the cause title after limitation has expired. The appeal in the corporate debtor's name was therefore not maintainable and was rightly dismissed.

---

---

Issues: (i) Whether an appeal against admission of a corporate insolvency application could be filed in the name of the corporate debtor by a suspended director after appointment of the interim resolution professional and after expiry of the statutory limitation period.

Analysis: Once an interim resolution professional is appointed on admission of an application under the Insolvency and Bankruptcy Code, the management of the corporate debtor vests in that professional. A suspended director therefore has no authority to prosecute an appeal in the name of the corporate debtor. An appeal so filed is not merely defective but is incompetent in its inception. The statutory scheme of limitation for appeals under the Code permits only the prescribed period and a limited condonable extension, and that time discipline cannot be bypassed by later changing the cause title so as to transform an incompetent filing into a maintainable appeal after limitation has expired.

Conclusion: The appeal in the name of the corporate debtor was not maintainable, could not be converted into a valid appeal by amendment after expiry of limitation, and was rightly dismissed.

---