Authority: National Company Law Appellate Tribunal, Chennai (Justice N. Seshasayee, Member (Judicial) and Jatindranath Swain, Member (Technical))
Order Date: August 10, 2026
Case Overview
The National Company Law Appellate Tribunal (NCLAT) heard an interlocutory application (IA No. 1090/2026) filed by JM Financial Asset Reconstruction Company Ltd. (Appellant) seeking clarification of its previous order dated July 15, 2026. The application sought to correct two specific aspects: first, that the appeal challenges both the cost imposed by the Adjudicating Authority and the merits of the matter, contrary to what was recorded in paragraph 3 of the July 15 order; and second, that there was an omission to stay paragraph 63 of the Adjudicating Authority's order which directed the Reserve Bank of India (RBI) to scrutinize the conduct of JM Financial ARC.
The matter involves JM Financial Asset Reconstruction Company Ltd. as Appellant against Power Finance Corporation Ltd. and three other respondents. The proceedings appear to relate to an insolvency matter, though the specific nature of the underlying dispute is not detailed in this procedural order.
Final Outcome
The NCLAT disposed of the application by granting both clarifications sought by the appellant. The Tribunal corrected the record to confirm that the appeal will be considered on both costs and merits. Additionally, the Tribunal stayed the operation of paragraph 63 of the Adjudicating Authority's order that had directed RBI to scrutinize JM Financial ARC's conduct. Both parties were directed to submit their pointed notes of submission, and the matter was listed for further hearing on September 1, 2026.
Topics: NCLAT Proceedings, Regulatory Scrutiny, Appellate Clarification