The NCLAT has ruled that EPFO can initiate assessment proceedings during liquidation of a company under IBC. This clarifies the scope of moratorium provisions under the IBC.
New Delhi, Jan 3 (PTI) The insolvency appellate tribunal has held that there is no bar against assessment proceedings by statutory authorities, including the EPFO, once the liquidation process starts against any debt-ridden company under the IBC.
However, it also clarified that once a debt-ridden company is protected under moratorium after the initiation of insolvency proceedings against it, the Employees’ Provident Fund Organisation (EPFO) cannot continue such proceedings.
While dismissing the two petitions filed by the EPFO, National Company Law Appellate Tribunal…
