NCLT AND INSOLVENCY
1. The insolvency and bankruptcy code was enacted with an objective to find solutions for stressed assets which may have arisen out of non performing assets and liquidation was to be the last resort.
2. NCLT is quasi judicial authority for dealing with corporate disputes which are of civil nature arising under the Companies Act. Although raison 'd' etre of NCLT is to work like normal court of law without any bias and in accordance with principles of natural justice, it's order could assist any resolving a situation or rectifying any wrong done by any corporate. NCLT is empowered to cancel the registration of the company and to dissolve it.
3. The future of big ticket stressed accounts with loans of over Rs. 4 trillion is uncertain and resolution may not be in the offing. Lenders are left with no choice but to take such companies to bankruptcy Court. The big question is who is taking over these companies? what are the credentials of the Companies who have become predators.
We at Km Law Associates are keeping a complete track of such companies which are sitting pretty on NCLT shoulders like hawks, waiting for the pray to fall in their lap.
Km Law Associates are the corporate advisors for some of the companies who have been taken to NCLT by banks and creditors and have given credible solutions.