The National Company Law Tribunal (NCLT), Mumbai bench comprising K.R. Saji Kumar (Judicial Member) and Anil Raj Chellan (Technical Member) has dismissed the withdrawal application filed under Section 12A of the Insolvency and Bankruptcy Code (IBC/Code) in the insolvency proceedings of Syska LED Lights Pvt. Ltd (Corporate Debtor).
The Tribunal held that once a Corporate Insolvency Resolution Process (CIRP) is admitted, it becomes a ‘collective proceeding’ in rem. The Tribunal observed that it exercises an ‘adjudicatory’ function in deciding withdrawal applications and is not a mere post office stamping approvals. The Tribunal dismissed the application, stating that allowing such withdrawal would result in multiple litigations…
