NCLAT ruled that a suspended director has no locus during CIRP and clarified that moratorium under Section 14 IBC does not bar the Adjudicating Authority from allowing arbitral counterclaims.

NCLAT ruled that subsequent financial agreements cannot nullify existing corporate guarantees where sanction letters ensure their continuity, and insufficiency of stamp duty does not render a Section 7 IBC proceeding invalid.

NCLAT held that a Section 9 application under the IBC cannot proceed where a pre-existing dispute exists, including pending civil suits, and the Corporate Debtor’s notice of dispute bars the initiation of insolvency proceedings.

NCLAT ruled that a lease deed executed by unauthorised persons without consideration is invalid, and the Corporate Debtor cannot claim leasehold rights over the property for inclusion in the CIRP information memorandum.

NCLAT ruled that a bank cannot retain or adjust a Corporate Debtor’s Fixed Deposit towards the liabilities of a group company, holding that the general lien under Section 171 of the Contract Act applies only to debts of the same customer.