The NCLAT, Principal Bench New Delhi ruled that the appellant who is a Suspended Director of the Corporate Debtor, can file a compromise or arrangement as contemplated under Section 230 of the Companies Act within 90 days of the order of liquidation. The Corporate Debtor being MSME and the appellant who claimed to be interested in submitting a plan can very well submit a compromise and arrangements as contemplated by Regulation 2(B) of the Liquidation Regulation, 2016.
Brief Facts:
The present appeal has been filed by the Suspended Director of the Corporate Debtor challenging the order of NCLT vide which liquidation of the corporate debtor was directed.
Observations of the Tribunal:
It was ruled that the appellant can file a compromise or arrangement as contemplated under Section 230 of the Companies Act within 90 days of the order of liquidation. The Corporate Debtor being MSME and the appellant who claimed to be interested in submitting a plan can very well submit a compromise and arrangements as contemplated by Regulation 2(B) of the Liquidation Regulation, 2016.
The decision of the Tribunal:
Appellant was allowed 90 days time to submit compromise or arrangement and accordingly, appeal was disposed.
Case Title: Taufik Sayeed Hudli & Ors v. Mangesh Vithal Kekre & Ors.
Case No.: Comp. App. (AT) (Ins) No. 1636 of 2024
Coram: Justice Ashok Bhushan, Barun Mitra (Technical Member), Arun Baroka (Technical Member)
Advocates for Appellants: Advs.Mr. Siddharth Botwe
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