Bombay High Court holds that mere pendency of a Section 7 application under IBC does not bar appointment of an arbitrator under Section 11 of the Arbitration Act

A single bench of the High Court of Bombay (“Bombay HC”) in Sunflag Iron & Steel Co. Ltd. v. M/s Poonamchand & Sons has held that appointment of an arbitrator under Section 11(6) of the Arbitration and Conciliation Act, 1996 (“ArbitrationAct”) cannot be prevented on account of initiation of proceedings under Section 7 of the Insolvency and Bankruptcy Code, 2016 (“IBC”).

Brief Facts

Filed under:
India, Arbitration & ADR, Insolvency & Restructuring, Litigation, JSA, Arbitration and Conciliation Act 1996 (India), Insolvency and Bankruptcy Code (India), Delhi High Court, Bombay High Court, National Company Law Tribunal
Authors:
Farhad Sorabjee , Pratik Pawar , Ananya Verma
Location:
India
Firm:
JSA
Supreme Court holds that an application for withdrawal of corporate insolvency resolution process under IBC can be allowed even prior to the constitution of the committee of creditors

A two-judge bench of the Supreme Court of India (“Supreme Court”) in its recent judgment Abhishek Singh v. Huhtamaki PPL Ltd.

Filed under:
India, Insolvency & Restructuring, Litigation, JSA, Debtor, Insolvency, Insolvency and Bankruptcy Board of India, Insolvency and Bankruptcy Code (India), Supreme Court of India, National Company Law Tribunal
Authors:
Farhad Sorabjee , Pratik Pawar , Shanaya Cyrus Irani , Ananya Verma
Location:
India
Firm:
JSA
NCLAT holds that moratorium under Section 14 of the IBC does not bar proceedings against the resolution professional for defrauding the creditors of its Corporate Debtor

The Principal Bench of National Company Law Appellate Tribunal (“NCLAT”) in its recent order, Rakesh Kumar Jain v. Jagdish Singh Nain & Ors., has inter alia held that Section 14(1)(a) of the Insolvency and Bankruptcy Code, 2016 (“IBC”) does not bar passing of any orders under Section 66 of the IBC against the resolution professional during operation of the moratorium imposed under Section 14 of the IBC.

Filed under:
India, Insolvency & Restructuring, Litigation, JSA, Insolvency, Insolvency and Bankruptcy Code (India), National Company Law Tribunal
Authors:
Farhad Sorabjee , Pratik Pawar , Ananya Verma
Location:
India
Firm:
JSA