In its first detailed order on the Insolvency and Bankruptcy Code, the Supreme Court has, via a series of observations, made it clear to managements of insolvent firms that their rule is over.
The judgement was pronounced in the case of Innoventive Industries that had challenged an unfavorable order by the National Company Law Appellate Tribunal. Last year in December, in what was the first case under the new IBC regime, ICICI Bank Ltd. had initiated insolvency proceedings against Innoventive Industries as it had defaulted on its dues to the bank.
The company challenged the move on grounds that all remedies for enforcement against it were temporarily suspended thanks to a reprieve it had won under the Maharashtra Relief Undertaking (…
Read the full article at: https://www.bloombergquint.com/law-and-policy/2017/09/07/insolvency-code-supreme-courts-order-has-astern-message-for-company-managements
