Avoidance Applications Survive CIRP & Can Be Heard After Resolution Plan Approval

Tata Steel BSL Limited Vs Venus Recruiter private Limited & Ors (Delhi High Court) a) The phrase “arising out of” or “in relation to” as situated under Section 60(5)(c) of the IBC is of a wide import and it is only appropriate that such applications are heard and adjudicated by the Adjudicating Authority, i.e., the NCLT or the NCLAT, as the case maybe, notwithstanding that the CIRP has concluded and the resolution applicant has stepped into the shoes of the promoter of the erstwhile corporate debtor. b) CIRP and avoidance applications, are, by their very nature, a separate set of p...