NCLAT allowed the appeal and modified the adjudicating...

NCLAT allowed the appeal and modified the adjudicating authority's order dated 19.07.2024, holding that the appellant is a secured creditor of the corporate debtor by virtue of a statutory charge over the debtor's assets. The Tribunal, relying on Supreme Court precedent interpreting analogous statutory charge provisions, treated the appellant's dues as secured government/statutory dues rather than unsecured operational claims and distinguished liabilities payable to statutory corporations from ordinary government dues. The appellant's prayer to be declared a secured creditor was granted and the impugned order set aside to that extent, with the appeal disposed accordingly.

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