Lease Dues Incurred During CIRP Prior To Vesting Date Are Payable To Financial Creditor, Do Not Belong To Successful Resolution Applicant: NCLT Hyderabad

The NCLT, Hyderabad, has ruled that "lease dues incurred during CIRP," "prior to the vesting date," are "payable to the financial creditor" and "do not belong to the successful resolution applicant." The court's decision, which is a significant victory for the government, was made on the grounds that the company's claim was not supported by evidence. The ruling clarifies that a company can be held responsible for the misdeeds of another person. The court's decision is a crucial reminder to all that they must be diligent in their dealings.