https://www.taxtmi.com/caselaws?id=447328 The NCLAT upheld the NCLT's admission of a Section 7 application filed by debenture holders against a corporate debtor. The tribunal held that the application was not barred by Section 10A of IBC as the default occurred after the Section 10A period ended. Although the facility acceleration notice was improperly issued by debenture holders instead of the debenture trustee as required by the debenture trust deed, the application remained maintainable because the majority debenture holder had already initiated Section 7 proceedings, showing unanimous intent among all debenture holders. The tribunal found sufficient default in interest payments exceeding Rs. 1 crore threshold after the Section 10A period, making the application admissible despite procedural irregularities in the acceleration notice. en-us Thu, 21 Dec 2023 00:00:00 +0530 Sat, 23 Dec 2023 09:42:14 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=447328 The NCLAT upheld the NCLT's admission of a Section 7 application filed by debenture holders against a corporate debtor. The tribunal held that the application was not barred by Section 10A of IBC as the default occurred after the Section 10A period ended. Although the facility acceleration notice was improperly issued by debenture holders instead of the debenture trustee as required by the debenture trust deed, the application remained maintainable because the majority debenture holder had already initiated Section 7 proceedings, showing unanimous intent among all debenture holders. The tribunal found sufficient default in interest payments exceeding Rs. 1 crore threshold after the Section 10A period, making the application admissible despite procedural irregularities in the acceleration notice. Case-Laws Insolvency and Bankruptcy Thu, 21 Dec 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=447328