https://www.taxtmi.com/caselaws?id=785827 A Section 7 insolvency petition should not be closed merely because valuation of pledged shares is disputed in parallel proceedings. The Adjudicating Authority must examine default and maintainability independently on the merits of the insolvency application, and pending Debt Recovery Tribunal proceedings do not, by themselves, create a bar. The High Court order dated 10.03.2021 was confined to interlocutory applications and status quo; it did not direct prior adjudication of share valuation by the DRT. On that basis, the impugned closure order was quashed and the insolvency proceedings were restored for consideration on their own merits. en-us Mon, 22 Dec 2025 00:00:00 +0530 Mon, 02 Feb 2026 08:20:15 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=785827 A Section 7 insolvency petition should not be closed merely because valuation of pledged shares is disputed in parallel proceedings. The Adjudicating Authority must examine default and maintainability independently on the merits of the insolvency application, and pending Debt Recovery Tribunal proceedings do not, by themselves, create a bar. The High Court order dated 10.03.2021 was confined to interlocutory applications and status quo; it did not direct prior adjudication of share valuation by the DRT. On that basis, the impugned closure order was quashed and the insolvency proceedings were restored for consideration on their own merits. Case-Laws IBC Mon, 22 Dec 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=785827