Supreme Court holds ArcelorMittal and Numetal not eligible to bid for Essar Steel unless they pay off the outstanding dues of Rs. 7000 crores thereby upholding Section 29A (c) of the IBC.
The resolution process has been substantially altered due to the introduction of Section 29A in the Insolvency and Bankruptcy Code. This article discusses the long debated topic of eligibility criteria of a resolution applicant.
There is a confusion regarding the priority of secured creditors in case of a liquidation proceeding under the Insolvency and Bankruptcy Code, 2016. This article aims to clarify the same with the help of interpretations of Section 53 of the IBC, the Companies Act and Transfer of Property Act, along with judgments on the same.