NCLT Dismisses Developer's Plea in Pre-Admission Stage

11 Jun 2024 CW Team

The National Company Law Tribunal (NCLT) has dismissed an intervention plea filed by developers at the pre-admission stage, reinforcing the tribunal's firm stance on such applications. The plea was made by the developers to intervene in insolvency proceedings initiated against them, seeking to halt the process before it officially began.

The developers argued that the insolvency proceedings were based on incorrect facts and that their intervention was crucial to ensure a fair hearing. However, the NCLT ruled that at the pre-admission stage, it does not entertain intervention applications as it primarily focuses on the initial review of the insolvency petition to determine if there are sufficient grounds for admission.

The tribunal's decision underscores the importance of adhering to the procedural requirements set forth under the Insolvency and Bankruptcy Code (IBC). The NCLT emphasised that the intervention plea could be considered once the insolvency petition is admitted and formal proceedings commence. This approach aims to streamline the initial stages of the insolvency process, preventing unnecessary delays and complications.

Legal experts have noted that this ruling by the NCLT aligns with its consistent efforts to expedite insolvency cases and avoid potential misuse of intervention applications by parties seeking to delay proceedings. The decision also sends a clear message to developers and other stakeholders about the importance of compliance with the IBC framework.

The dismissal of the plea highlights the tribunal's commitment to maintaining the integrity of the insolvency process and ensuring that it remains efficient and effective in addressing financial distress cases.

Technology

28 Jun 2025

We’re building robots that flow, not just move

Founded in 2021, Flo Mobility is reimagining construction automation with vision-AI robots designed for seamless movement through complex sites. In conversation with CW, Manesh Jain, Founder & CEO, discusses the company’s origin, its LiDAR-free tech stack, and expansion plans in the Middle East and US.What inspired the name Flo Mobility? Why ‘Flo’ and not ‘Flow’?When we started the company in 2021, our focus was on building autonomous navigation systems for robots. Since our work centred around robot movement, ‘mobility’ naturally became part of the name. We wanted to co..

We’re committed to setting benchmarks in sustainable luxury living

From a landmark land acquisition in Boisar to ambitious launches across the Mumbai Metropolitan Region (MMR), National Capital Region (NCR), Bengaluru and Pune, Birla Estates is driving future-ready growth with a strong focus on sustainability, partnerships and premium living, firmly anchored in its LifeDesigned® philosophy. K T Jithendran, Managing Director & CEO, outlines the company’s premium, sustainable growth playbook in conversation with PRATAP PADODE, Editor-in-Chief, CW. Excerpts:Birla Estates recently acquired a 70.92-acre land parcel in Boisar, Maharashtra, for..

Mumbai’s land crunch and ageing homes call for structured renewal

Founded in 2022, Etonhurst Capital Partners is a real-estate fund management platform focused on the Indian market. As the firm achieves the first close of Rs 1.8 billion for its debut Rs 5 billion fund, Bamasish Paul, Co-founder, Managing Partner & CEO, discusses its sharp focus on redevelopment-driven value creation in Mumbai’s urban core with CW. Excerpts:Etonhurst Capital has achieved a significant milestone with the first close of Rs 1.8 billion for its Rs 5 billion fund. What factors contributed to this early success and how do you plan to attract further investments to r..