Deciding two connected writ petitions arising from a common Industrial Tribunal Award, the Delhi High Court set aside the Tribunal's direction granting hotel workmen a further…
Labour Laws
06/09/20264 min read
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Informative
No Irreversible Actions In Winding Up, Company Court Can Transfer Proceedings To NCLT: Bombay High Court
Insolvency & Bankruptcy Code
The Bombay High Court, led by Justice Abhay Ahuja, ruled that as long as no irreversible actions, such as property sales, have occurred, the Company Court can transfer proceedings to the NCLT. In this case, the Applicant sought to transfer Company Petition No. 317 of 2012 to the NCLT. \r
The Official Liquidator stated that company properties were handed over to Edelweiss Asset Reconstruction Company Limited, and no claims from creditors or workers were invited. The High Court cited the Supreme Court's decision in A. Navinchandra Steels Pvt. Ltd. vs. SREI Equipment Finance Ltd., emphasizing that without irreversible actions, transferring to NCLT is permissible, expediting corporate insolvency resolution. \r
The Applicant was directed to deposit Rs. 3 lakhs for liquidation costs.
