
Case Law Analysis
|National Company Law Appellate Tribunal
Section 5(8) IBC | Interest on Inter-Corporate Deposits Forms Part of Financial Debt Threshold : NCLAT
NCLAT rules that interest on inter-corporate deposits must be included in calculating the financial debt threshold under Section 5(8) of the Insolvency and Bankruptcy Code, 2016. This decision overturns NCLT's exclusion of interest based solely on TDS deductions, impacting creditors' eligibility for initiating CIRP.