The Supreme Court has held that moratorium under provisions of IBC which restrains initiation of any fresh proceedings applies only to the Corporate Debtor but does not protect the promoters
Topics
Supreme Court|IBC|Corporate growth
The Supreme Court has held that moratorium under provisions of Insolvency and Bankruptcy Code (IBC) which restrains initiation of any fresh proceedings or discontinuance of existing ones applies only to the Corporate Debtor but does not protect the promoters of the stressed company.
The top court observation came in an order related to builder-home buyers’ dispute arising out of non-completion of the housing project.
A bench of Justices DY Chandrachud, Vikram Nath and Hima Kohli allowed the home …
Read the full article at: https://www.business-standard.com/article/companies/moratorium-under-ibc-applies-only-to-corporate-debtor-not-to-promoters-sc-121091601418_1.html
