CIRP - Classification of the claim - Claim as contingent due to ...

Case Laws Insolvency and Bankruptcy

May 9, 2024

CIRP - Classification of the claim - Claim as contingent due to pending litigation - Citing legal precedent, the Tribunal upheld the classification of the claim at a notional value of Rs. 1. - The Tribunal found that the resolution plan's payout prioritized secured financial creditors, leaving nothing for operational creditors. Considering the waterfall mechanism outlined in Section 53 of the Code, the Tribunal determined that operational creditors would receive NIL payment. The Tribunal noted that the CoC's approval of the resolution plan was based on commercial wisdom, which it couldn't interfere with.

View Source

← Previous Next →

CIRP - Classification of the claim - Claim as contingent due to ...

Case Laws Insolvency and Bankruptcy

May 9, 2024

You may also like:

The Appellant sought payment of its pre-CIRP dues from the Respondent in a manner different from the approved resolution plan, which provided for payment of pre-CIRP...

CIRP - Recovery of electricity dues - Liability of successful Auction Purchaser in the liquidation proceeding of the Corporate Debtor - The submission of the Appellant...

Assessment proceedings against one of the legal heirs - deceased/assessee had admittedly more than one legal representatives - Despite the legal heir's explicit...

Scope of CIRP costs - Section 5(13) and Regulation 31 - waterfall mechanism - contract was completed during the CIRP period - The Tribunal emphasized that for a claim to...

CIRP initiated against the Corporate Debtor terminated upon reaching full and final settlement with the Operational Creditor who filed Section 7 application. Quantum of...

Rejection of the simultaneous claim by the Resolution Professional of the Corporate Debtor - Claim filed by the Applicant with respect to the corporate guarantee given...

Adjudication of show cause notice (SCN) after several year - The tribunal noted the history of duty exemption, litigation, and subsequent duty imposition on resin...

Once a resolution plan is approved u/s 31(1) of the Insolvency and Bankruptcy Code, 2016 (IBC), only the debts specified in the resolution plan remain payable. This...

Jurisdiction of the Adjudicating Authority (NCLT) to adjudicate upon a closure notice issued prior to the initiation of the Corporate Insolvency Resolution Process...

Provision for custom duty when litigation is pending - The subject liability is clearly a contingent liability and squarely falls within the definition of the expression...

CIRP - Fresh claim of Sales Tax Dues after submission of Resolution plan for approval - Time limitation - Appellant / Revenue department has argued that the initiation...

Seeking directions against the respondent no. 1/National Housing Bank (NHB) to consider and decide upon the petitioner’s representation - The High Court noted that the...

Wages/salaries of the workmen/employees during the CIRP period - There are disputed questions, whether in fact the IRP/RP managed the operations of the corporate debtor...

Initiation of CIRP - Since the learned counsel for the Respondent conveyed the willingness of Respondent to settle the claim in question, we are inclined to give one...

The circular addresses the Reduction of Government Litigation by setting monetary limits for filing appeals before GSTAT, High Courts, and Supreme Court. It refers to...

Quick Updates: