Madras High Court Sets Aside Order Passed Against A Dead Person

The National Company Law Appellate Tribunal (NCLAT) Principal Bench ruled that filing applications under Section 9 of the Insolvency and Bankruptcy Code (IBC) solely for money recovery, rather than for insolvency resolution, constitutes an abuse of process. The Tribunal emphasized that Section 9 is intended for initiating insolvency proceedings rather than for recovering debts. This decision reinforces the intended use of IBC provisions and aims to prevent misuse of the insolvency framework for debt recovery purposes.