Adjudicating Authority Cannot Declare Sale Of Going Concern As Void Without Any Challenge: NCLAT New Delhi

NCLAT, New Delhi, held that the Adjudicating Authority (NCLT) cannot declare a going concern sale void without any challenge to it. The appellate tribunal emphasized that if a sale of the corporate debtor as a going concern has been approved and implemented without any stakeholder raising objections or challenging its validity within the prescribed timelines, the NCLT does not have the suo moto power to declare it void. This ruling upholds the finality of decisions taken during the insolvency resolution process in the absence of timely challenges.