The National Company Law Appellate Tribunal (NCLAT) dismissed an appeal from Future Consumer Ltd (FCL) seeking insolvency proceedings against Aussee Oats Ltd. This decision supports the previous ruling of the National Company Law Tribunal (NCLT) in Mumbai.
FCL claimed dues exceeding Rs one crore from Aussee Oats, part of an earlier Rs two crore Inter-Corporate Deposit. However, NCLT noted that Aussee Oats’ financial statements indicated a ‘set off’ of such claims, determining no payable amount to FCL.
The appellate tribunal highlighted a dispute between the financial creditor and the debtor’s shareholders. NCLAT concluded that NCLT’s decision to decline initiating insolvency proceedings was justified and upheld the dismissal of…