The National Company Law Appellate Tribunal (NCLAT), Principal Bench at New Delhi, has dismissed appeals filed by operational creditors challenging the rejection of restoration applications on revival of insolvency proceedings under Section 7 of the Insolvency and Bankruptcy Code, 2016. The Bench held that once the entire amount in Part IV of the Section 7 application has been paid, insolvency proceedings cannot be restored.
The appeals were filed by Campbell Advertising Pvt. Ltd. and Dhankalash Distributors Pvt. Ltd. against Vipul Ltd., against the order dated July 10, 2025 passed by the NCLT, New Delhi, rejecting Restoration Applications.
The insolvency proceedings had originally been initiated under Section 7…