Show Cause Notices Quashed Under Companies Act for New Management Post-Liquidation even if sold as a going concern

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....The HC quashed the impugned show cause notices issued under the Companies Act, 2013, against the petitioner company, which had been sold as a going concern by the liquidator under the IBC Regulations. The Court held that liquidation results in the civil death of the original company, with only its corporate identity continuing under new management, thereby granting a "clean slate." Criminal liability for pre-liquidation offences does not extend to the new management, except for persons involved in the day-to-day operations prior to CIRP commencement. The Court observed that further prosecution would undermine the purpose of protection afforded to the new management post-liquidation. Despite multiple replies to notices, the first respondent .........