2019 (9) TMI 454 - AT - Insolvency and Bankruptcy

Condonation of delay - Section 61 of the Insolvency and Bankruptcy Code, 2016 - HELD THAT - Considering the proviso of sub-section (2) of Section 61, we have authority to condone the delay, if there is sufficient cause only to the extent of fifteen days. Apparently, the present Appeal is hopelessly time barred and we have no jurisdiction to entertain the same. The Application for condonation of delay is rejected.

Summary

Issues: Delay Condonation for Filing Appeal under Section 61 of the Insolvency and Bankruptcy Code, 2016

Issue 1: Delay Condonation for Filing Appeal

The Appellant filed an Interlocutory Application for delay condonation, stating that the Appeal was against an order dated 15th of May, 2018, and was filed on 3rd May, 2019, despite knowing about the order since 1st February, 2019. The Appellant cited delays by concerned Departments in deciding who would file the Appeal as the reason for the delay. The relevant provision, Section 61 of the Insolvency and Bankruptcy Code, 2016, allows for the filing of an Appeal to the National Company Law Appellate Tribunal within thirty days, with a provision for condonation of delay up to fifteen days if sufficient cause is shown.

The Tribunal, in its analysis, highlighted the provision of Section 61(2) of the Insolvency and Bankruptcy Code, 2016, which allows for the condonation of delay up to fifteen days beyond the initial thirty-day period for filing an Appeal. The Tribunal emphasized that it has the authority to condone delay only to the extent of fifteen days if sufficient cause is demonstrated. In this case, the Appeal was found to be "hopelessly time-barred," and the Tribunal concluded that it lacked jurisdiction to entertain the Appeal due to being beyond the permissible time limit. Consequently, the Application for condonation of delay was rejected, and the Appeal was disposed of as time-barred, in line with the statutory provisions governing the filing of Appeals under the Code.

In conclusion, the judgment by the National Company Law Appellate Tribunal, New Delhi, focused on the issue of delay condonation for filing an Appeal under Section 61 of the Insolvency and Bankruptcy Code, 2016. The Tribunal, while acknowledging the provision for condonation of delay up to fifteen days, strictly adhered to the statutory timeline for filing Appeals. The decision to reject the Application for delay condonation and dispose of the Appeal as time-barred underscores the importance of complying with the prescribed timelines under the Code to maintain the integrity and efficiency of the appellate process within the legal framework governing insolvency and bankruptcy matters.