Case Note & Summary
The appeal was filed against the order dated 29.01.2026, where the Adjudicating Authority dismissed the Section 94 application for want of prosecution. The Appellant, Dr. Manish Nandlal Tardeja, had filed the application after a Resolution Professional was appointed on 21.01.2025, who submitted a report. The Adjudicating Authority had previously directed the Resolution Professional to serve copies of the petition to all creditors, allowing them two weeks to file objections. However, the matter was not taken up on the scheduled date of 28.11.2025 due to time constraints and was subsequently dismissed on 29.01.2026. The Respondents argued that the Appellant was delaying proceedings to enjoy the moratorium under Section 94 of the Insolvency and Bankruptcy Code, 2016. The Tribunal observed that the dismissal for want of prosecution was not warranted as the Appellant was actively pursuing the case. Consequently, the Tribunal set aside the dismissal order and revived the Section 94 application for fresh consideration by the Adjudicating Authority, without expressing any opinion on the merits of the case. The appeal was disposed of accordingly.
Headnote
A) Company Law - Dismissal for Want of Prosecution - Justification for Dismissal - Insolvency and Bankruptcy Code, 2016, Section 94 - The Adjudicating Authority dismissed the Section 94 application for want of prosecution, noting the Appellant's delay in proceedings. The Tribunal found that the dismissal was not justified as the Appellant was present and pursuing the proceedings, leading to the revival of the application for fresh consideration. Held that the matter should be reconsidered by the Adjudicating Authority (Paras 1-3).
Issue of Consideration
Whether the dismissal of the Section 94 application for want of prosecution was justified.
Final Decision
The Tribunal set aside the order dated 29.01.2026 and revived the Section 94 application for fresh consideration by the Adjudicating Authority.
Law Points
- Dismissal for want of prosecution
- Section 94 application
- Moratorium under IBC
- Fresh consideration of application
