Maintainability of a Section 7 insolvency petition against a financial service provider denied; appeal dismissed for non maintainability and complex d...
Provisional attachment under Prevention of Money Laundering Act requires exhaustion of statutory remedies; impugned order set aside, appeal to tribuna...
Restoration of property under Prevention of Money Laundering Act after attachment dispute rendered academic; possession directed to successful resolut...
Interpretation of the term "existing management" in an approved resolution plan was central to deciding whether a pending civil suit for mesne profits could continue against the corporate debtor under new management. The court held that "existing management" referred to the management immediately prior to takeover, and the resolution plan permitted continuation only to determine monetary liability recoverable, if any, from the erstwhile management, not from the corporate debtor/new management. Since an approved plan under s. 31(1) IBC freezes and extinguishes all claims not provided for, the suit was barred against the corporate debtor/new management; it could proceed only against the erstwhile management if steps were taken within a fortnight, failing which it would be treated as disposed. - HC
Interpretation of the term "existing management" in an approved resolution plan was central to deciding whether a pending civil suit for mesne profits could continue against the corporate debtor under new management. The court held that "existing management" referred to the management immediately prior to takeover, and the resolution plan permitted continuation only to determine monetary liability recoverable, if any, from the erstwhile management, not from the corporate debtor/new management. Since an approved plan under s. 31(1) IBC freezes and extinguishes all claims not provided for, the suit was barred against the corporate debtor/new management; it could proceed only against the erstwhile management if steps were taken within a fortnight, failing which it would be treated as disposed. - HC
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4821 
Join Channel 
