Post-search scrutiny assessment remains available where original assessment limitation is unexpired, permitting timely completion under regular assess...
Insolvency and BankruptcyAugust 8, 2022Case LawsAT
Initiation of CIRP - Period of limitation - It is the case of the Appellant that the date of default of Non-Performing Assets (NPA) on 05.07.2014 and the Bank/ R2 has filed petition under Section 7 of the Code on 11.12.2019 - NCLT admitted the application - This case finally reflects that this is a forum shopping being done by a private sector bank which is not healthy. - CIRP mechanism is not for a debt recovery as Hon’ble Supreme Court has already settled the law on this aspect. Hence, CIRP cannot be used for bringing a Corporate Debtor to liquidation & thereby enriching Private Sector Bank. - AT
Initiation of CIRP - Period of limitation - It is the case of the Appellant that the date of default of Non-Performing Assets (NPA) on 05.07.2014 and the Bank/ R2 has filed petition under Section 7 of the Code on 11.12.2019 - NCLT admitted the application - This case finally reflects that this is a forum shopping being done by a private sector bank which is not healthy. - CIRP mechanism is not for a debt recovery as Hon’ble Supreme Court has already settled the law on this aspect. Hence, CIRP cannot be used for bringing a Corporate Debtor to liquidation & thereby enriching Private Sector Bank. - AT
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