Topic

Section 12A IBC

2 articlesLatest May 2026
Simultaneous CIRP Against Principal Borrower and Corporate Guarantor Permitted Under IBC | NCLAT Confirms Section 12A Inapplicable Post-Liquidation : NCLAT
Case Law Analysis
|National Company Law Appellate Tribunal

Simultaneous CIRP Against Principal Borrower and Corporate Guarantor Permitted Under IBC | NCLAT Confirms Section 12A Inapplicable Post-Liquidation : NCLAT

The NCLAT has ruled that corporate insolvency resolution proceedings can proceed concurrently against both the principal borrower and its corporate guarantor, even when liquidation has been ordered against the guarantor. This clarifies that Section 12A of the IBC cannot be invoked to halt liquidation after resolution failure, reinforcing creditor rights and closing a key loophole in multi-debtor insolvency cases.

IBC Commercial Wisdom Non-Justiciable | SC Bars Recall of Dismissed SLP Post-Settlement Unless Clerical Error or Executory Impossibility : SC
Case Law Analysis
|Supreme Court of India

IBC Commercial Wisdom Non-Justiciable | SC Bars Recall of Dismissed SLP Post-Settlement Unless Clerical Error or Executory Impossibility : SC

Supreme Court reaffirms that the commercial wisdom of the Committee of Creditors under the Insolvency and Bankruptcy Code is non-justiciable, and a dismissed Special Leave Petition cannot be recalled based on subsequent settlements. The Court held that only clerical errors or executory impossibility can warrant reconsideration, setting a high bar for reopening dismissed appeals.