Excise Demands Extinguished by NCLT Order: Telangana HC Disposes CESTAT Appeal

The Telangana High Court has disposed of a CESTAT appeal, ruling that excise demands were extinguished by an NCLT (National Company Law Tribunal) order. This significant decision reinforces the supremacy of an approved resolution plan under the Insolvency and Bankruptcy Code (IBC) over pre-existing tax demands. Once a company's resolution plan is approved by the NCLT under the IBC, all past liabilities, including excise demands, are typically extinguished as part of the "clean slate" principle. The High Court's ruling ensures consistency between tax and insolvency laws.