Flipkart Gets Stay on Insolvency Proceedings Initiated Against It at NCLT

Online sales platform Flipkart has got a stay order on insolvency proceedings initiated against it at the National Company Law Tribunal (NCLT), in a case involving alleged withholding of dues to a seller, Business Standard reported. CloudWalker Streaming, a Mumbai-based supplier of LED TVs, alleged Flipkart did not honour a purchase agreement and had not paid dues totalling Rs 26.95 crore. It petitioned the NCLT bench here that the Insolvency and Bankruptcy Code (IBC) be invoked. On October 24, accepting the petitioner’s argument, the bench did order initiation of insolvency proceedings. Flipkart appealed to the high court here and, a day later, obtained a stay on the NCLT order, a company spokesperson told Business Standard. Read more