Individual Bankrupts Denied Right to Self-Discharge – IBC Section 138(1): NCLT Delhi

Anil Syal Vs Ajay Gupta & Anr. (NCLT Delhi) National Company Law Tribunal (NCLT) in Delhi has dismissed an application filed by Anil Syal, seeking discharge under Section 138(1) of the Insolvency and Bankruptcy Code (IBC). The NCLT ruled that an individual undergoing bankruptcy proceedings lacks the legal standing to file a discharge application; this right is solely vested in the Bankruptcy Trustee. The decision stemmed from a case where Syal, after receiving permission from the National Company Law Appellate Tribunal (NCLAT) to apply for discharge, filed an application with the NCLT. Sya...