Arrest safeguards and transit remand requirements invalidated detention following inter-State transfer without communicated grounds or magistrate auth...
Arrest safeguards require disclosed grounds, relative intimation and transit remand, while duplicate prosecution under the CGST framework is unsustain...
Document Identification Number defects can invalidate GST assessments, with delayed challenges entertained conditionally where patent irregularities e...
Windmill commissioning evidence supported higher depreciation where grid connection and electricity generation proved operational use before the relev...
Pharmaceutical promotion and transfer-pricing comparability principles limited disallowances, while uncorroborated search allegations and unsupported ...
Business expenditure substantiation supports scrap credits, statutory payments and expense claims, while depreciation requires proof of actual busines...
Insolvency and BankruptcyAugust 27, 2024Case LawsAT
The appellate tribunal held that the maximum 120-day period for completing the Pre-Package Insolvency Resolution Process (PPIRP) is not mandatory. The termination of PPIRP requires an order from the adjudicating authority, and there is no concept of automatic termination after the expiry of 120 days. The tribunal observed that all IBC processes have timelines for completion, but the adjudicating authority has discretion to extend the period in appropriate cases, even after the prescribed timeline, as held by the Supreme Court in the Essar Steel case. The adjudicating authority erred in rejecting the application for a 60-day extension of PPIRP and holding that the proceedings must be terminated after 120 days. The impugned order was set aside, and the appeal was allowed.
The appellate tribunal held that the maximum 120-day period for completing the Pre-Package Insolvency Resolution Process (PPIRP) is not mandatory. The termination of PPIRP requires an order from the adjudicating authority, and there is no concept of automatic termination after the expiry of 120 days. The tribunal observed that all IBC processes have timelines for completion, but the adjudicating authority has discretion to extend the period in appropriate cases, even after the prescribed timeline, as held by the Supreme Court in the Essar Steel case. The adjudicating authority erred in rejecting the application for a 60-day extension of PPIRP and holding that the proceedings must be terminated after 120 days. The impugned order was set aside, and the appeal was allowed.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 4790
Join Channel
TaxTMI 
