Date Of Default Pleaded U/S 7 Of IBC Cannot Be Changed Automatically On Basis Of Arbitral Award Passed After Filing Application: NCLAT

The NCLAT (National Company Law Appellate Tribunal) held that the date of default pleaded under Section 7 of the IBC (Insolvency and Bankruptcy Code) cannot be changed automatically based on an arbitral award passed after the filing of the application. The tribunal emphasized the importance of the initial pleadings in an insolvency application and that a subsequent arbitral award cannot retroactively alter the fundamental basis of the application, such as the date of default.