Case Note & Summary
The appellant, Dr. Aveena Gudapati, filed an appeal before the National Company Law Appellate Tribunal (NCLAT) at Chennai challenging an order dated 28.05.2024 passed by the National Company Law Tribunal (NCLT), Hyderabad Division Bench-I, in IA No.7/2024 in CP(IB) No.97/7/HDB/2022. The appellant had earlier filed Comp App (AT) (CH) (Ins) No.280/2024 against the same impugned order, which was withdrawn. The present appeal was filed subsequently. The NCLAT observed that since the earlier appeal was withdrawn, the present appeal is not maintainable. Accordingly, the appeal was dismissed as withdrawn. The court did not delve into the merits of the case, including the issue of whether the Section 7 application was filed with malicious intent under Section 65 of the Insolvency and Bankruptcy Code, 2016.
Headnote
A) Insolvency Law - Withdrawal of Appeal - Maintainability - Insolvency and Bankruptcy Code, 2016, Section 7, Section 65 - The appellant had earlier filed Comp App (AT) (CH) (Ins) No.280/2024 challenging the same impugned order dated 28.05.2024, which was withdrawn. The present appeal was filed subsequently. The NCLAT held that since the earlier appeal was withdrawn, the present appeal is not maintainable and is dismissed as withdrawn. (Paras 1-5)
Issue of Consideration
Whether the appeal against the impugned order dated 28.05.2024 is maintainable after the appellant had withdrawn the earlier appeal (Comp App (AT) (CH) (Ins) No.280/2024) challenging the same order.
Final Decision
The appeal is dismissed as withdrawn.
Law Points
- Withdrawal of appeal
- Section 7 IBC
- Section 65 IBC
- CIRP initiation
- maintainability of appeal
Case Details
2024 LawText (NCLAT) (01) 81
Company Appeal (AT) (CH) (Ins) No.287/2024 (IA Nos. 754 & 755/2024)
Justice Sharad Kumar Sharma (Member (Judicial))
Mr. B.S.V. Prakash Kumar, Advocate
Krishna Mohan Meenavalli, Bio Green Papers Limited, Katepalli Venkateswara Rao
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Nature of Litigation
Appeal against order of NCLT Hyderabad in IA No.7/2024 in CP(IB) No.97/7/HDB/2022.
Remedy Sought
Appellant sought to set aside the order admitting the Corporate Debtor into CIRP under Section 7 of IBC.
Filing Reason
Appellant claimed that the Section 7 application was filed with malicious intention and could not be proceeded with under Section 65(3) of IBC.
Previous Decisions
Earlier appeal (Comp App (AT) (CH) (Ins) No.280/2024) challenging the same impugned order was withdrawn.
Issues
Whether the present appeal is maintainable after withdrawal of earlier appeal against the same order.
Submissions/Arguments
Appellant argued that the Section 7 application was malicious and should be set aside under Section 65 IBC.
Ratio Decidendi
An appeal challenging the same impugned order cannot be maintained if a prior appeal against the same order has been withdrawn.
Judgment Excerpts
The Appellant herein had earlier preferred a Comp App (AT) (CH) (Ins) No.280/2024, being aggrieved against the Impugned Order of 28.05.2024...
In the said Company Appeal the basic question under consideration was as to whether the application preferred by the applicant therein claiming himself to be a 3rd Party/Shareholder of 2nd Respondent / Corporate Debtor, praying to set aside the order of admitting the Corporate Debtor into CIRP proceedings under Section 7 of I & B Code on the grounds that the Section 7 application was preferred with malicious intention...
The Learned Adjudicating Authority, observing that since the earlier appeal was withdrawn, the present appeal is not maintainable.
Procedural History
The appellant filed Comp App (AT) (CH) (Ins) No.280/2024 challenging the impugned order dated 28.05.2024, which was withdrawn. Subsequently, the appellant filed the present appeal (Comp App (AT) (CH) (Ins) No.287/2024) against the same impugned order. The NCLAT dismissed the present appeal as withdrawn.
Acts & Sections
- Insolvency and Bankruptcy Code, 2016: Section 7, Section 65
