https://www.taxtmi.com/caselaws?id=774503 NCLAT set aside the Adjudicating Authority's rejection of bankrupt's discharge application under Section 138(1)(a) of IBC. The tribunal held that discharge after one year is mandatory, and the Bankruptcy Trustee's failure to file application within statutory timeline cannot prejudice the bankrupt's rights. The Adjudicating Authority erred in refusing to consider the application, as more than two years had elapsed without trustee filing mandatory discharge application. The court emphasized that timelines in IBC must be adhered to by all stakeholders, and inaction by trustee/bank cannot resist valid discharge application. Appeal allowed. en-us Tue, 08 Jul 2025 00:00:00 +0530 Thu, 10 Jul 2025 08:39:46 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=774503 NCLAT set aside the Adjudicating Authority's rejection of bankrupt's discharge application under Section 138(1)(a) of IBC. The tribunal held that discharge after one year is mandatory, and the Bankruptcy Trustee's failure to file application within statutory timeline cannot prejudice the bankrupt's rights. The Adjudicating Authority erred in refusing to consider the application, as more than two years had elapsed without trustee filing mandatory discharge application. The court emphasized that timelines in IBC must be adhered to by all stakeholders, and inaction by trustee/bank cannot resist valid discharge application. Appeal allowed. Case-Laws IBC Tue, 08 Jul 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=774503