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Supreme Court of India 2023-03-14 dismissed

VICTORY IRON WORKS LTD vs JITENDRA LOHIA & ANR

Bench: 2 — V. Ramasubramanian, Pankaj Mithal

In Brief

Victory Iron Works Ltd (licensee) and Energy Properties Private Ltd (nominal owner) challenged orders protecting a Resolution Professional's custody of development rights over contested land during insolvency proceedings. The Corporate Debtor (Avani Towers) had financed the land purchase and held exclusive development rights under agreements. The Supreme Court held that the bundle of contractual rights constitutes 'property' and 'assets' under the IBC, liable for inclusion in the Information Memorandum. While the Resolution Professional's jurisdiction extends to these development rights, Victory's license to occupy 10,000 sq. ft. remains protected. NCLT and NCLAT correctly balanced interests without exceeding jurisdiction. The appeals were dismissed.

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Insolvency and Bankruptcy Corporate Insolvency Resolution Process Asset Definition Development Rights Intangible Assets Jurisdiction of NCLT Real Property and Interests Contract Law License vs Lease

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