Authority: National Company Law Appellate Tribunal Principal Bench, New Delhi

Order Date: October 29, 2026

Case Overview

The National Company Law Appellate Tribunal (NCLAT) heard an appeal (Comp. App. (AT) (Ins) No. 2060 of 2026) filed by Munish Kumar, a suspended board director of Guiding Force Developers Private Limited, against Jammu and Kashmir Bank Ltd. & Anr. The appellant, represented by Senior Advocate Mr. Abhijeet Sinha with Ms. Manvi Jain, challenged the impugned order initiating insolvency proceedings against Guiding Force Developers. The core arguments presented were twofold. First, the appellant contended that the bank's claim had already been satisfied through a resolution plan approved in an earlier Corporate Insolvency Resolution Process (CIRP) against Adel Landmarks Ltd. The appellant cited a clause in that resolution plan stating that once approved, the bank could not initiate recovery proceedings against the subsidiaries of the corporate debtor (Adel Landmarks). Second, the appellant argued that the proceedings were barred by limitation, a point they claimed was not properly appreciated by the Adjudicating Authority.

Final Outcome

The NCLAT bench, comprising Justice Mohammad Faiz Alam Khan (Member-Judicial) and Naresh Salecha (Member-Technical), declined to issue any ad interim directions without hearing the respondents. The tribunal issued formal notice to the respondents (Jammu and Kashmir Bank Ltd. & Anr.) in both the main appeal and the accompanying stay application. The appellant was granted liberty to serve the respondents by hand (dasti service) and was directed to complete this within 24 hours. The matter was listed for the next hearing on November 5, 2026. The appellant was also directed to file an affidavit of service by the next date of listing. A separate application (IA No. 7768 of 2026) regarding document legibility was disposed of with a direction that the appellant would provide typed copies if any document was deemed dim or illegible by the bench.

Topics: Insolvency Appeal, Subsidiary Liability, NCLAT Procedure