Authority: National Company Law Appellate Tribunal Principal Bench, New Delhi
Order Date: 06.08.2026
Case Overview
The National Company Law Appellate Tribunal (NCLAT) heard an appeal (Comp. App. (AT) (Ins) No. 1235 of 2026) filed by Bank of Baroda, a financial creditor, against an order of the Adjudicating Authority. The Adjudicating Authority had dismissed the appellant's application filed under Section 95 of the Insolvency and Bankruptcy Code (IBC) against the respondent, Deepak Mittal.
The appellant, represented by Senior Advocate Mr. Narender Hooda and a team of advocates, argued vehemently that the basis for dismissal was flawed. The core legal contention revolves around the treatment of shares in a plan. The appellant argued that the Adjudicating Authority rejected its application based on shares that were issued in a plan, but failed to consider that these same shares were later extinguished by a subsequent provision within the same plan. The appellant contends this critical aspect was not considered by the lower authority.
Final Outcome
The NCLAT bench, comprising Justice Mohammad Faiz Alam Khan (Member-Judicial) and Arun Baroka (Member-Technical), found the appellant's arguments merited consideration. The tribunal admitted the appeal and issued formal notice to the respondent, Deepak Mittal. The appellant was directed to complete all necessary steps for serving notice, including submitting the process fee and requisites, within three working days from the order date (06.08.2026). The appeal was listed for the next hearing on 24.08.2026. Crucially, the tribunal ordered that any further actions taken by the respondent would be subject to the final outcome of this appeal, effectively placing a conditional stay on the respondent's activities pending the appeal's disposal.
Topics: Insolvency Appeal, Corporate Debt, NCLAT