This led to the appeal before NCLAT.
The NCLAT arrived at the following conclusions:
Invalid Authorization: The tribunal found that Manohar Maddili, who filed the application on behalf of IDBI, did not hold a valid power of attorney at the time of filing. The authority granted to him had been superseded by a subsequent resolution and the application was therefore, filed without proper authorization.
“Since the proceedings under Section 7 of I & B Code, 2016, itself was instituted on 07.09.2023, at that point of time Mr. Manohar Maddili, who had filed the supporting affidavit was not holding the valid authority to file an affidavit, which will itself vitiate the entire proceedings, since having been instituted by a person who was not…
