https://www.taxtmi.com/caselaws?id=783106 The Appellate Tribunal allowed the appeal, setting aside the impugned order and upholding the Liquidator's cancellation of the sale and forfeiture of the auction purchaser's Earnest Money Deposit. It held that the respondent, declared the highest bidder, committed default by failing to adhere to the strict payment timelines prescribed in the E-Auction Process Document, despite having no legal or factual impediment to arrange funds. The Tribunal ruled that forfeiture of EMD in liquidation auctions is a legitimate contractual and statutory consequence of default under the insolvency framework, and that the issue must be examined under the Code rather than the Indian Contract Act. en-us Mon, 01 Dec 2025 00:00:00 +0530 Wed, 10 Dec 2025 08:41:43 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=783106 The Appellate Tribunal allowed the appeal, setting aside the impugned order and upholding the Liquidator's cancellation of the sale and forfeiture of the auction purchaser's Earnest Money Deposit. It held that the respondent, declared the highest bidder, committed default by failing to adhere to the strict payment timelines prescribed in the E-Auction Process Document, despite having no legal or factual impediment to arrange funds. The Tribunal ruled that forfeiture of EMD in liquidation auctions is a legitimate contractual and statutory consequence of default under the insolvency framework, and that the issue must be examined under the Code rather than the Indian Contract Act. Case-Laws IBC Mon, 01 Dec 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=783106