The tribunal had admitted a plea by Rattan India Finance to initiate insolvency proceedings against Cox & Kings for defaulting on loan repayment of about Rs 30.4 crore in October last year. “This will become a precedent for other cases as well where the process got affected due to lockdown and pandemic and exclusion and extension is required to complete the process.” “This is a pragmatic approach taken by the tribunal to enable the affected processes so that they can achieve the objective of the code of maximisation of value of assets,” said Ashish Pyasi, associate partner at law firm Dhir & Dhir Associates. “Although the NCLAT (National Company Law Appellate Tribunal) had taken up the issue suo motu in March 2020 and declared that the period of lockdown by the government will be excluded for the purpose of counting of the period for ‘resolution process’, this order will act as a precedent in all applications seeking extensions to determine till when the lockdown period is to be calculated,” said Singh. “The period of lockdown imposed by the Central government in the wake of Covid-19 outbreak shall not be counted for the purposes of the timeline for any activity that could not be completed due to such lockdown, in relation to a corporate insolvency resolution process,” IBBI said in the notification.Īccording to Ankita Singh, a partner at legal firm A&P Partners, the order of the NCLT Mumbai bench will clear concerns over the duration of the lockdown. Scientists have warned that as a result of the Sun’s inactivity. The Insolvency & Bankruptcy Board of India ( IBBI) had issued a notification on March 29 to exclude the Central government’s lockdown period from the resolution process. Earth is bracing for a solar minimum: a dormant period in which the Sun radiates less energy or heat at our planet than usual. The RP, on behalf of the lenders of Cox & Kings, argued that while the national lockdown was extended till June 30, it remained in force in Maharashtra until July 31. The initial 180-day period for finalisation of a resolution plan for Cox & Kings ended on April 19, almost four weeks after the nationwide lockdown started on March 25. The Mumbai bench of the National Company Law Tribunal said the lenders have time till January 24, 2021, to come up with a revival plan for the company.
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