https://www.taxtmi.com/caselaws?id=794286 The three-month period for filing a bankruptcy application under Section 121(2) of the Insolvency and Bankruptcy Code is directory rather than mandatory because it prescribes no consequence for non-compliance, outer limitation bar, or exclusion of the Limitation Act. Section 238A preserves the application of Section 5 of the Limitation Act, enabling delay to be condoned where sufficient cause is established. Accordingly, a bankruptcy application cannot be rejected solely because it was filed after the prescribed three-month period, and refusal to condone delay on that basis is unsustainable. en-us Tue, 30 Jun 2026 00:00:00 +0530 Fri, 03 Jul 2026 08:49:58 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=794286 The three-month period for filing a bankruptcy application under Section 121(2) of the Insolvency and Bankruptcy Code is directory rather than mandatory because it prescribes no consequence for non-compliance, outer limitation bar, or exclusion of the Limitation Act. Section 238A preserves the application of Section 5 of the Limitation Act, enabling delay to be condoned where sufficient cause is established. Accordingly, a bankruptcy application cannot be rejected solely because it was filed after the prescribed three-month period, and refusal to condone delay on that basis is unsustainable. Case-Laws IBC Tue, 30 Jun 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=794286