{"id":215629,"date":"2019-06-13T10:30:51","date_gmt":"2019-06-13T05:00:51","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=215629"},"modified":"2019-06-19T13:06:25","modified_gmt":"2019-06-19T07:36:25","slug":"nclat-appeal-under-s-61-ibc-not-maintainable-in-absence-of-decision-by-adjudicating-authority","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2019\/06\/13\/nclat-appeal-under-s-61-ibc-not-maintainable-in-absence-of-decision-by-adjudicating-authority\/","title":{"rendered":"NCLAT | Appeal under S. 61 IBC not maintainable in absence of decision by Adjudicating Authority"},"content":{"rendered":"<p style=\"text-align: justify;\"><strong>National Company Appellate Tribunal (NCLAT):\u00a0<\/strong>The Bench comprising of S.J. Mukhopadhaya, J. (Chairperson) and A.I.S Cheema, J. and Kanthi Narahari, Members, Judicial and Technical, respectively; declined to intervene and place any opinion for the appeal made by Ex-Directors and Promoters of Bhushan Power and Steel Limited which stated that:<\/p>\n<p style=\"text-align: justify;\"><em>&#8220;More than 270 days have been passed and the final order is yet to be passed by the Adjudicating Authority.&#8221;<\/em><\/p>\n<p style=\"text-align: justify;\">The present appeal was filed by &#8216;Committee of Creditors&#8217; against the order passed by Adjudicating Authority (National Company Law Tribunal), Principal Bench, New Delhi, wherein the order was reserved.<\/p>\n<p style=\"text-align: justify;\"><strong>Facts and Background of the case explained:<\/strong><\/p>\n<p style=\"text-align: justify;\">Appellate Tribunal by order dated 04-02-2019 remitted the matter back to the Adjudicating Authority for consideration of the &#8216;Resolution Plan&#8217; submitted by &#8216;JSW Steel&#8217;.<\/p>\n<p style=\"text-align: justify;\">Thereafter, the matter was heard and Judgment had been reserved. While the Judgment was still pending, Punjab and Haryana High Court passed certain directions directing the Adjudicating Authority to follow a certain\u00a0 procedure giving reference to the Supreme Court&#8217;s decision and held that &#8220;<em>any order passed by the Adjudicating Authority\/NCLT, which is contravention, contradiction or derogation of the directions of Supreme Court should not be taken into consideration.&#8221;<\/em><\/p>\n<p style=\"text-align: justify;\">Senior Counsel, Mukul Rohatgi with Advocates Arvind Kr Gupta and Henna George, appeared for the erstwhile directors and promoters of Bhushan Power and Steel Limited.<\/p>\n<p style=\"text-align: justify;\">Solicitor General and Senior Advocate Tushar Mehta with Advocates Bishwajit Dubey, Spandan Biswal, Srideepa Bhattacharya, Sylona Mohapatra and Surabhi Khattar, appeared for the Committee of Creditors of Bhushan Power and Steel Limited.<\/p>\n<p style=\"text-align: justify;\"><strong>Decision in the present appeal:<\/strong><\/p>\n<p style=\"text-align: justify;\">NCLAT declined to entertain the present appeal stating that the matter is still pending before the Adjudicating Authority, therefore they are not inclined to entertain the appeal by erstwhile directors and promoters of Bhushan Power and Steel Limited.<\/p>\n<p style=\"text-align: justify;\">Bench also commented that it is unclear on how Punjab and Haryana High Court&#8217;s vacation Bench passed an order as noted above when the matter is still pending. It was also stated that the mentioned Court has no territorial jurisdiction over Delhi, where Principal bench of NCLT, New Delhi is situated.<\/p>\n<p style=\"text-align: justify;\">Further, the Bench stated that,\u00a0<em>Adjudicating Authority is supposed to decide the case on merit in accordance with law uninfluenced by any order except the decision of this Appellate Tribunal and Supreme Court.<\/em><\/p>\n<p style=\"text-align: justify;\">Hence, in view of the above, the appeal stands disposed of. [Committe of Creditors of Bhushan Power and Steel Ltd. v. Mahendra Kumar Khandelwal, <a href=\"http:\/\/scconline.com\/DocumentLink\/FS2l7HAw\"><b>2019 SCC OnLine NCLAT 201<\/b><\/a>, decided on 11-06-2019]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>National Company Appellate Tribunal (NCLAT):\u00a0The Bench comprising of S.J. Mukhopadhaya, J. (Chairperson) and A.I.S Cheema, J. and Kanthi Narahari, Members, Judicial and <\/p>\n","protected":false},"author":8808,"featured_media":153604,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3,11],"tags":[32458,3207,35985,35986,2554,35995],"class_list":["post-215629","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-casebriefs","category-tribunals_commissions_regulatorybodies","tag-committee-of-creditors","tag-disposal","tag-ex-directors-and-promoters-of-bhushan-power-and-steel-limited","tag-jsw-steel","tag-Jurisdiction","tag-section-61"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.4 (Yoast SEO v27.4) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>NCLAT | Appeal under S. 61 IBC not maintainable in absence of decision by Adjudicating Authority | SCC Times<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.scconline.com\/blog\/post\/2019\/06\/13\/nclat-appeal-under-s-61-ibc-not-maintainable-in-absence-of-decision-by-adjudicating-authority\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"NCLAT | Appeal under S. 61 IBC not maintainable in absence of decision by Adjudicating Authority\" \/>\n<meta property=\"og:description\" content=\"National Company Appellate Tribunal (NCLAT):\u00a0The Bench comprising of S.J. 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