The National Company Law Appellate Tribunal (NCLAT) on Monday set aside insolvency proceedings in a case that had earlier seen a tribunal member recuse after disclosing an alleged attempt to influence the outcome through a retired High Court judge. [Attluru Sreenivasulu Reddy, Suspended Director of KLSR Infratech Ltd v. AS Met Corp]
A Bench led by Chairperson Justice Ashok Bhushan allowed the appeal and overturned the National Company Law Tribunal (NCLT), Hyderabad order dated July 14, 2023, which had admitted a Section 9 application filed by AS Met Corp.
The NCLAT dismissed the insolvency proceedings with costs of ₹10 lakh, directing the operational creditor to pay the amount within 30 days.
It also directed that a copy of the judgment…