Supreme Court
Supreme Court Continues Symbolic Possession Of Tower-5 By RP In Morpheus Bluebell CIRP
The Supreme Court of India has directed that the interim arrangement permitting only symbolic possession of Tower-5 by the Resolution Professional of the Morpheus Bluebell project developed by Morpheus Prodevelopers Pvt Ltd shall continue. The company is undergoing the Corporate Insolvency Resolution Process (CIRP) in the Morpheus Bluebell project. The Court was hearing an appeal filed by SGN Universal Construction Company Private Limited against the National Company Law Appellate Tribunal's...
Supreme Court Pulls Up Xalta RP, CoC for Non-Compliance With ₹50.55 Lakh Monthly Rent Order; Orders Handover
The Supreme Court of India on Tuesday warned the Superintendent of Police, Hapur, of personal liability if possession of premises belonging to Prerna Singh is not handed over within a week, directing the Resolution Professional and Committee of Creditors of Xalta Food and Beverages Pvt. Ltd. to ensure compliance. The Court once again rebuked the RP and CoC for failing to comply with its April 16, 2026 order, noting that against the committed monthly rent of Rs 50.55 lakh, only Rs 33.83 lakh was...
RP's Admission Of Claim In CIRP Not Acknowledgment Of Debt, Cannot Extend Limitation: Supreme Court
The Supreme Court on Wednesday held that admission of a claim by a Resolution Professional during insolvency proceedings is merely an administrative act and does not amount to an acknowledgment of liability under Section 18 of the Limitation Act, 1963. The court said such admission is only a recital or entry of debt and cannot extend the limitation period for initiating proceedings. “RP performs its administrative duties under Section 18 of the Code. The admission of a claim by RP is merely an...
IBC Time-Bound Resolution “Impossible To Achieve” Amid NCLT Delays; Supreme Court Takes Suo Motu Cognisance
The Supreme Court of India on Wednesday took suo motu cognisance of delays in approval of resolution plans pending before various benches of the National Company Law Tribunal (NCLT), stating that the objective of time-bound resolution under the Insolvency and Bankruptcy Code, 2016 is “impossible to achieve” in the present situation. A bench of Justice J.B. Pardiwala and Justice K.V. Viswanathan was hearing the matter pursuant to its order dated April 16, 2026. By that order, the Court had...
Stamp Duty Is A Fiscal Measure To Secure Revenue; Cannot Be Used To Defeat Creditors' Claims: Supreme Court
The Supreme Court of India on Monday held that stamp duty law cannot be used as a weapon to defeat creditor claims, ruling that defects in stamping are curable and do not invalidate corporate guarantees.A bench of Justices Pamidighantam Sri Narasimha and Alok Aradhe set aside the March 2, 2021 order of the NCLT and the October 14, 2022 judgment of the NCLAT, which had rejected the claims of the SBI-led consortium of lenders against Reliance Infratel Ltd. on grounds including insufficient...
SBI Back In Reliance Infratel CoC As Supreme Court Sets Aside NCLAT Order Excluding Consortium Lenders
The Supreme Court of India has allowed the appeal filed by the State Bank of India against an October 14, 2022 order of the National Company Law Appellate Tribunal, which had upheld the exclusion of SBI and other lenders from the Committee of Creditors (CoC) in the insolvency of Reliance Infratel Limited.A bench of Justices P.S. Narasimha and Alok Aradhe set aside the NCLAT ruling and restored the status of lenders claiming under corporate guarantees as financial creditors and directed their...
Supreme Court Asks NCLAT To Consider Whether Court-Constituted Committee Is Needed For All Supertech Projects
The Supreme court recently requested the NCLAT to examine whether a court-constituted committee should oversee all projects of Supertech Ltd or whether such monitoring should continue only for the 16 projects already entrusted to NBCC, noting the urgency arising from stalled developments.A bench of Chief Justice Surya Kant and Justice Joymalya Bagchi, while referring the issue to the appellate tribunal, said:“In this view of the matter, we request the learned NCLAT to consider the issue as...
Insolvency Process Has Far-Reaching Consequences, Cannot Be Used To Enforce Money Decrees: Supreme Court
The Supreme Court on Thursday held that insolvency proceedings under the Insolvency and Bankruptcy Code, 2016 cannot be invoked as a substitute for execution of a civil court decree. A Bench of Justices Pamidighantam Sri Narasimha and Alok Aradhe observed that, “The insolvency process is a remedy with far-reaching consequences and must be reserved for cases of genuine insolvency or financial distress, not for the enforcement of money decrees.” The Division Bench allowed an appeal against a...
Supreme Court Pulls Up RP, CoC Of Xalta Food For Defaulting On ₹50.55 Lakh Monthly Compensatory Rent
The Supreme Court on Thursday came down heavily on the Resolution Professional (RP) and Committee of Creditors (CoC) of Xalta Food and Beverages Pvt. Ltd. for failing to honour their statement on oath and resolution to pay monthly compensatory rent of about ₹50.55 lakh to the lessor, Prerna Singh, noting that despite such commitment, only partial payment of ₹33.83 lakh was made for April 2026. A Bench of Justices J.B. Pardiwala and K.V. Viswanathan reprimanded the RP and the CoC for failing to...
Supreme Court Flags Delay In Resolution Plan Approvals By NCLT, Seeks Data From Principal Bench, IBBI
Flagging delays in approval of resolution plans, the Supreme Court on Thursday sought details from the National Company Law Tribunal's Principal Bench in New Delhi and nationwide data from the Insolvency and Bankruptcy Board of India (IBBI).A Bench of Justice J.B. Pardiwala and Justice K.V. Viswanathan directed the NCLT's Principal Bench to provide the following details: “(i) How many applications for approval of resolution plans are pending? (ii) For how long are such applications pending? ...
Supreme Court Dismisses Paharpur Plea Against Sinnar Thermal Power, Bars Arbitral Award Execution Post CIRP
The Supreme Court on Friday dismissed the special leave petition filed by Paharpur Cooling Towers Ltd. against Sinnar Thermal Power Ltd., effectively affirming the Delhi High Court's order dated February 11, which held that once a resolution plan is approved under the Insolvency and Bankruptcy Code (IBC), claims cannot be pursued through parallel arbitral award execution proceedings.A Bench of Justices Pamidighantam Sri Narasimha and Alok Aradhe, after hearing the parties, dismissed the...
Supreme Court Says Article 142 Cannot Be Invoked To Cure Illegalities In Jaipur Udyog Rehabilitation Efforts
The Supreme Court on Wednesday refused to invoke its powers under Article 142 of the Constitution, which allows it to pass orders to do complete justice, to condone illegalities in a long-running dispute involving defunct Jaipur Udyog Ltd. (JUL), directing disbursal of workers' dues estimated at over Rs. 100 crore and appointment of an administrator to oversee the process. Separately, the court directed the deposit of Rs 51 crore realised from the sale of the Kanpur unit for utilisation...