Significance of Business Valuation for Companies Every business owner should ask yourself one question. “What is the worth of your company in the open market?” Business Valuation is necessary to know about your company’s actual value or Fair value as it helps to understand, what your situation is? and where you stand in terms …
Need to Keep and maintain records up to 8 YRs by Insolvency Professionals IBBI issued a circular No.: IBBI/CIRP/38/2021 dated 06 January 2021, i.e “Preservation of records relating to the Corporate Insolvency Resolution Process (CIRP) by the Insolvency Professional.” in the exercise of its powers U/s 196(1)(g)(aa) of the IBC Code, read in along with …
Limitation Period under IBC 2016 & SARFAESI Act, 2002 Limitation Period under IBC 2016 This application filed by Corporate Debtors to restructure the debt or payment of the interest doesn’t amount to an acknowledgment of debt. (C. Shiv Kumar Reddy Vs. Dena Bank and Other, 2019) The minutes of the board meeting of the Corporate …
www.carajput.com; IBC after the Impact COVID-19 IBC Ordinance, 2020 after the Impact Covid-19: COVID Period Defaults cannot be triggered by CIRP COVID-19 outbreak has caused confusion and industry stress for reasons beyond their control. India was closed on 25 March 2020 to battle COVID-19, leading to the chaos of daily business activities. It is difficult …
Penalties imposed Rs 34.22 Lakhs on RP by IBBI on breach of moratorium condition IBBI assigns Rs 34.22 a lakh penalty for insolvency professional on breach of the condition of moratorium by enabling the movement of funds of the corporate debtor during the CIRP Insolvency regulator IBBI’s Disciplinary Committee (DC) has levied a fine of …
Elements of Avoidable Preferential Specified Transactions under IBC 2016 As per the 2016 Insolvency and Bankruptcy Code, Section 43 to 51 deals with avoidable transactions. These transactions are also kept referring to as vulnerable transactions. In case of code, there are three types of avoidable transactions. These are preferential transactions, undervalued transactions, and extortionate credit …
Crux-of-Topic Wise case laws Insolvency and bankruptcy law rulings of the supreme court high court, NCLAT, and NCLT Court ARBITRATION CLAUSE Hotel Guadvan (P.) Ltd. v. Alchemist Asset Reconstruction Co. Ltd. [2018] (NCL-AT) • When moratorium came into effect, in view of section 14, no arbitration proceeding could have taken place [Sec. 14]• In order of the supreme court, instant appeals were to …
Approved Resolution Plan is binding only on those parties involved in the resolution plan-Electrosteel Steels Limited Vs. The state of Jharkhand – Jharkhand High Court The ruling of the High Court: I. The tax collected from customers is not “Operation Debt” in accordance with the Code: The amount of VAT had to be paid …
Dissident Financial Creditors and Equal Principle under IBC If the creditors eventually get the liquidated interest that is almost Zero in most cases will only deter the creditors to lend and OC would start seeking the payment in advance that would be difficult for the Corporate Debtors in most cases. This will thus just hamper …
IBBI amends CIRP Regulation by relaxation timeline due to COVID-19 outbreak The press note on the lockout notification reads as follows: In order to solve this dilemma, the IBBI amended the CIRP Regulations to ensure that the lockout period enforced by the Central Government following the outbreak of COVID-19 is not to be counted for the purposes of the time-line for any operation that could not be completed as a consequence of the lock-down. IBBI amends the CIRP Regulations to include relaxation due to the COVID-19 outbreak in the corporate insolvency resolution process However, it would be subject to the overall time limit set out in the Code. Why does the word ‘subject to the Code’s complete time limit? Will that mean …