On January 30, the RBI filed an application before the NCLT in New Delhi to initiate the CIRP under Section 227 and clause (zk) of sub-section (2) of Section 239 of the Insolvency and Bankruptcy Code (IBC) and the Insolvency and Bankruptcy (Insolvency and Liquidation Proceedings of Financial Service Providers and Application to Adjudicating Authority) Rules, 2019 (FSP Insolvency Rules).
During the course of the hearing on February 14, Senior Advocate Arun Kathpalia, who appeared for RBI, contended that the central bank suspects funds to the tune of ₹1000 crore had gone missing from Aviom.
Earlier in January, the RBI had superseded Aviom India’s board of directors and filed a plea to initiate insolvency proceedings to protect…
