Case Note & Summary
The appeal was filed by Apollo Green Energy Ltd. against an order from the National Company Law Tribunal, New Delhi, which closed the opportunity for the appellant to file a reply due to procedural defects. The appellant's counsel argued that the reply was filed online on 03.02.2026, but defects raised by the Registry were not timely addressed due to the negligence of the appellant's clerk. The respondent opposed the appeal, claiming that the defects were deliberately ignored to delay proceedings. The Tribunal noted that the defects were acknowledged and that the appellant had made efforts to comply with the requirements. The court allowed the appellant to rectify the defects within seven days and directed the respondent to file a rejoinder within the same timeframe. Additionally, the Tribunal imposed a cost of Rs. 25,000 to be deposited in the Prime Minister's Relief Fund, emphasizing that failure to comply would negate the benefits of the order. The appeal was disposed of with these directions.
Headnote
A) Insolvency and Bankruptcy - Procedural Fairness - Right to be Heard - Insolvency and Bankruptcy Code, 2016, Section 9 - The appellant was denied the opportunity to file a reply due to procedural defects, which were not timely rectified. The court permitted the appellant to remove the defects within a stipulated time, emphasizing the importance of allowing parties to present their case fully. Held that procedural lapses should not deny the right to be heard (Paras 11-14).
Issue of Consideration
Whether the appellant should be allowed to rectify defects in the reply submission after the opportunity to file was closed.
Final Decision
The Tribunal allowed the appellant to rectify the defects within seven days and directed the respondent to file a rejoinder within the same period. The appellant was also ordered to deposit Rs. 25,000 in the Prime Minister's Relief Fund within five days, failing which the benefits of the order would not be granted.
Law Points
- IBC provisions
- procedural fairness
- opportunity to be heard
- defects in filing
- Adjudicating Authority's discretion
