Expeditious Disposal of Applications [ Section 64 ] - Insolvency Resolution And Liquidation For Corporate Persons - IBC

Expeditious Disposal of Applications Reason for delaying for order to be recorded [ Section 64(1) of the IBC, 2016 ] Where an application is not disposed of or an order is not passed within the period specified in this Code, the National Company Law Tribunal or the National Company Law Appellate Tribunal, as the case may be, shall record the reasons for not doing so within the period so specified ; and the President of the National Company Law Tribunal or the Chairperson of the National Company Law Appellate Tribunal, as the case may be, may, after taking into account the reasons so recorded, extend the period specified in the Act but not exceeding ten days . No inunction on the power conferred on NCLT or NCLAT [ Section 64(2) of the IBC, 2016] No injunction shall be granted by any court, tribunal or authority in respect of any action taken, or to be taken, in pursuance of any power conferred on the National Company Law Tribunal or the National Company Law Appellate Tribunal under this Code. Relevant Case Laws Arcelormittal India Pvt. Ltd. Vs. Satish Kumar Gupta and Ors. 2018 (10) TMI 312 - SC Dated 04.10.2018 FAQ on the Insolvency and Bankruptcy Code, 2016 182 Section 64 makes it clear that the timelines are to be adhered to by the NCLT and NCLAT as they are of great importance, and reasons must be recorded by either the NCLT or NCLAT, if the matter is not disposed of within the time limit specified. Mobilox Innovations Pvt. Ltd. Vs. Kirusa Software Pvt. Ltd. [Civil Appeal No. 9405 of 2017] SC Dated21.09.2017 The strict adherence of the timelines is of essence to both the triggering process and the insolvency resolution process.