JSA represented a financial creditor in a significant judgment where the Supreme Court has upheld the constitutional validity of Sections 95 to 100 of the IBC (concerning insolvency resolution process of individuals/personal guarantors and partnership firms)

In the case of Dilip B Jiwrajka v Union of India & Ors, a 3 (three) judge bench of the Supreme Court of India (“SupremeCourt”) has upheld the constitutional validity of Sections 95 to 100 of the Insolvency and Bankruptcy Code, 2016 (“IBC”).

Background

Filed under:
India, Insolvency & Restructuring, Litigation, JSA, Insolvency and Bankruptcy Code (India), Supreme Court of India
Authors:
Sidharth Sethi , Pragya Chauhan , Avinash Das , Soumitra Majumdar , Fatema Kachwalla , Bhaskar Dhandharia
Location:
India
Firm:
JSA
A preference shareholder is not a financial creditor unless the preference shares become due for redemption

The National Company Law Tribunal, Kolkata Bench (“NCLT”), in EPC Constructions India Limited through its Liquidator – Abhijit Guhathkurtha v. M/s Matix Fertilizer and Chemicals Limited has ruled that preference shareholders cannot step into the shoes of a financial creditor unless their preference shares become redeemable.

Brief Facts

Filed under:
India, Company & Commercial, Insolvency & Restructuring, Litigation, JSA, Insolvency and Bankruptcy Code (India), National Company Law Tribunal
Authors:
Sidharth Sethi , Kunal Saini
Location:
India
Firm:
JSA
Supreme Court holds that revised resolution plan cannot be approved by the Adjudicating Authority without being placed before the Committee of Creditors

The Supreme Court (“SC”) in the case of M. K. Rajagopalan v. Dr. Periasamy Palani Gounder & Anr., has held that, while commercial wisdom of the Committee of Creditors (“CoC”) must be respected, certain factors having a material bearing on the process of approval of the resolution plan should also be borne in mind.

Filed under:
India, Insolvency & Restructuring, Litigation, JSA, Coronavirus, Insolvency, National Company Law Tribunal
Authors:
Varghese Thomas , Dheeraj Nair , Aditi Deshpande , Vishrutyi Sahni , Sidharth Sethi , Avinash Das
Location:
India
Firm:
JSA