https://www.taxtmi.com/caselaws?id=753484 NCLAT held that prior approval under Section 33(5) of IBC for liquidators to institute proceedings on behalf of corporate debtors is mandatory, not directory. Proceedings instituted without prior approval are unauthorized and incompetent. However, ex-post facto approval can authorize such proceedings from the date approval is granted. The party against whom proceedings are instituted need not be given notice or hearing before approval. NCLAT dismissed the appeal, upholding the Adjudicating Authority's order granting ex-post facto approval for Section 7 proceedings. en-us Fri, 31 May 2024 00:00:00 +0530 Tue, 04 Jun 2024 08:03:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=753484 NCLAT held that prior approval under Section 33(5) of IBC for liquidators to institute proceedings on behalf of corporate debtors is mandatory, not directory. Proceedings instituted without prior approval are unauthorized and incompetent. However, ex-post facto approval can authorize such proceedings from the date approval is granted. The party against whom proceedings are instituted need not be given notice or hearing before approval. NCLAT dismissed the appeal, upholding the Adjudicating Authority's order granting ex-post facto approval for Section 7 proceedings. Case-Laws Insolvency and Bankruptcy Fri, 31 May 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=753484