https://www.taxtmi.com/highlights?id=83150 The NCLAT dismissed the appeal challenging the quashing of the e-auction conducted on 31.01.2024 for the sale of the Corporate Debtor as a going concern and the rejection of the appellant's proposed Scheme of Arrangement u/s 230 of the Companies Act, 2013. The Tribunal held that with the enactment of the IBC, the significance of Section 230(1) in addressing insolvency has diminished. The follow-up process u/s 230(1) is necessary only when the Liquidator fails to sustain the Corporate Debtor as a going concern. Regulation 32A mandates the Liquidator to prioritize selling the Corporate Debtor as a going concern to maximize value. Minor discrepancies during the bid process were deemed inconsequential as the Successful Bidder is operating the Corporate Debtor as a going concern, fulfilling the IBC's objective. The appeal lacked merits and was dismissed. en-us Sat, 16 Nov 2024 08:38:49 +0530 Sat, 16 Nov 2024 08:38:49 +0530 TaxTMI RSS Generator https://www.taxtmi.com/highlights?id=83150 The NCLAT dismissed the appeal challenging the quashing of the e-auction conducted on 31.01.2024 for the sale of the Corporate Debtor as a going concern and the rejection of the appellant's proposed Scheme of Arrangement u/s 230 of the Companies Act, 2013. The Tribunal held that with the enactment of the IBC, the significance of Section 230(1) in addressing insolvency has diminished. The follow-up process u/s 230(1) is necessary only when the Liquidator fails to sustain the Corporate Debtor as a going concern. Regulation 32A mandates the Liquidator to prioritize selling the Corporate Debtor as a going concern to maximize value. Minor discrepancies during the bid process were deemed inconsequential as the Successful Bidder is operating the Corporate Debtor as a going concern, fulfilling the IBC's objective. The appeal lacked merits and was dismissed. Highlights IBC Sat, 16 Nov 2024 08:38:49 +0530 https://www.taxtmi.com/highlights?id=83150