Mortgage Offered by Subsidiary Under Insolvency to Secure Parent Company’s Debt- a Preferential Transaction: Supreme Court

In yet another landmark decision in relation to the corporate insolvency resolution process (CIRP) of Jaypee Infratech Limited (JIL), the Supreme Court in Anuj Jain, Interim Resolution Professional for Jaypee Infratech Limited vs. Axis Bank Limited Etc. Etc. (Civil Appeal Nos. 8512-8527 of 2019) dated 26.02.2020, has laid down the law on two aspects: 

➢  the essential elements of a preferential transaction under Section 43 of the Insolvency and Bankruptcy Code 2016 (Code); and 

Filed under:
India, Banking, Insolvency & Restructuring, Real Estate, Khaitan & Co, Supreme Court of India
Authors:
Aditya Kumar Ayachit , Ashwin Bishnoi , Raveena Rai
Location:
India
Firm:
Khaitan & Co