Threshold for allottee-initiated insolvency petitions in leasehold real estate upheld; petition admitted after possession letters deemed legally ineff...
Contravention of foreign exchange rules in crossborder diamond payments; appellate tribunal reduces one appellant's penalty for delay and proportional...
RPA (Remote Pilot Aircraft) for military use defined to include drones/UAV/UAS; exemptions limited to specified defence imports with Joint Secretary c...
Transfer of going concern and transfer of input tax credit under GST allowed; exemption applies though interstate ledger transfers left to authorities...
Section 7 proceedings based on a money decree cannot be used as a substitute for execution where the real dispute concerns computation of the decretal balance and ordinary enforcement remedies remain available. The Court reiterated that the IBC is meant for genuine insolvency and revival, not coercive debt recovery; on these facts, the corporate debtor was solvent, substantial payments had already been made, and the computation issue was already pending before the Delhi High Court. Although a money decree may in principle give rise to a fresh cause of action for insolvency proceedings, that principle is not automatic and the adjudicating forum must still guard against abuse. The NCLAT erred in treating the decree alone as sufficient; the insolvency application was restored to dismissal and execution was left open as the proper remedy.
Section 7 proceedings based on a money decree cannot be used as a substitute for execution where the real dispute concerns computation of the decretal balance and ordinary enforcement remedies remain available. The Court reiterated that the IBC is meant for genuine insolvency and revival, not coercive debt recovery; on these facts, the corporate debtor was solvent, substantial payments had already been made, and the computation issue was already pending before the Delhi High Court. Although a money decree may in principle give rise to a fresh cause of action for insolvency proceedings, that principle is not automatic and the adjudicating forum must still guard against abuse. The NCLAT erred in treating the decree alone as sufficient; the insolvency application was restored to dismissal and execution was left open as the proper remedy.
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4824 
Join Channel 
