Only Resolution Professional Is Empowered To File Application For Avoidance Of Preferential Transactions U/S 43 Of IBC: NCLAT

Only Resolution Professional Empowered to File Application for Avoidance of Preferential Transactions U/S 43 of IBC: NCLAT The National Company Law Appellate Tribunal (NCLAT) has clarified that only the Resolution Professional (RP) is empowered to file an application for the avoidance of preferential transactions under Section 43 of the Insolvency and Bankruptcy Code (IBC). This ruling consolidates the authority for pursuing such avoidance applications with the RP, preventing multiple stakeholders from initiating similar actions. It ensures a streamlined process for identifying and recovering assets that were transferred unfairly before the insolvency commencement date.