Dissolution Of Corporate Debtor u/s 54 of IBC can be Sought after Complete Liquidation: NCLAT

The National Company Law Appellate Tribunal (NCLAT) has ruled that the dissolution of a corporate debtor under Section 54 of the Insolvency and Bankruptcy Code (IBC) can be sought after complete liquidation. This decision clarifies that once the liquidation process is concluded, the liquidator can apply for the dissolution of the corporate debtor, effectively ending its existence. The ruling ensures that the liquidation process is comprehensive and final, providing a clear legal pathway for the dissolution of companies that have undergone liquidation. This decision is significant for insolvency professionals and stakeholders involved in the liquidation process, as it provides clarity on the procedural aspects of dissolving a corporate debtor.