Payment Of Pre-CIRP Dues To Creditors Including Government Dues Cannot Be Made By RP Outside Resolution Framework: NCLAT New Delhi

The National Company Law Appellate Tribunal (NCLAT) ruled that resolution professionals managing corporate debtor assets are responsible for the payment of pre-CIRP dues. The case involved a dispute over the payment of dues owed by a corporate debtor before the commencement of the Corporate Insolvency Resolution Process (CIRP). The NCLAT held that resolution professionals must ensure that pre-CIRP dues are paid to maintain the corporate debtor’s operations and protect the interests of creditors. This decision underscores the responsibilities of resolution professionals in managing corporate debtor assets and ensuring the payment of pre-CIRP dues. It highlights the importance of maintaining the financial stability of corporate debtors during the insolvency resolution process.