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Supreme Court of India 2021-12-01 disposed

Committee of Creditors of Amtek Auto Limited through Corporation Bank vs Dinkar T. Venkatsubramanian and others

Bench: 2 — M.R. Shah

In Brief

In this insolvency case, the Supreme Court reversed the Appellate Authority's order directing liquidation of Amtek Auto Limited. Despite earlier failed resolution attempts, the Court permitted re-invitations for resolution plans. When Deccan Value Investor LP's plan was approved by the National Company Law Tribunal in July 2020, the applicant later attempted to withdraw, which the Court firmly rejected. The Court found the resolution plan viable—DVI had remitted ₹500 crores to a custodian bank for disbursement—and directed all parties to complete implementation within four weeks. The judgment prioritizes the Code's core objective of resolving financial distress and maximizing asset value over strict time compliance, excluding delays caused by litigation from the statutory timeline.

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Insolvency and Bankruptcy Code, 2016 Corporate Insolvency Resolution Process NCLAT—Appellate Jurisdiction Resolution Plans Liquidation Implementation of Approved Plans Statutory Timeline

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