Initiation of CIRP - The default and its consequences clearly ...

Nonpayment of Interest on NCDs Triggers CIRP as 'Event of Default' Under Debenture Trust Deed.

May 19, 2021

Case Laws Insolvency and Bankruptcy Tri

Initiation of CIRP - The default and its consequences clearly provide that nonpayment of interest towards outstanding NCDs is an 'event of default' and the Debenture Trust Deed recognizes that in case there is an 'event of default', the Petitioners/Debenture Holders are entitled to recover the money paid towards the NCDs. Therefore, the Bench notes that in this case an 'event of default' has occurred in terms of Clause 8.8 of the Debenture Trust Deed when accrued interest was not paid when it became due and payable and therefore the Corporate Debtor was entitled to redeem the NCDs. - Tri

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Initiation of CIRP - The default and its consequences clearly ...

Nonpayment of Interest on NCDs Triggers CIRP as 'Event of Default' Under Debenture Trust Deed.

May 19, 2021

Case Laws Insolvency and Bankruptcy Tri

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