Initiation of proceedings under IBC against Airport Authority of India unjustified

Akash Electrotek Engineers Pvt Ltd. Vs NCC Limited (NCLT Hyderabad)

NCLT Hyderabad Held that Airport Authority of India being a statutory body created under Airport Authority of India Act, 1944, does not come under the definition of ‘corporate person’ u/s. 3(7) of IBC. Therefore, proceedings under IBC could not have been initiated against them.

Facts-

This application is filed by M/s. Akash Electrotek Engineers Private Limited, being the Operational Creditor (the Petitioner) seeking to initiate the Corporate Insolvency Resolution Process (CIRP) against M/s. NCC Limited, (Respondent-1) and M/s Airport Authority of India, (Respondent-2) for the alleged default in discharging the debt that is due to the Petitioner.

Conclusion-

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