NCLT Dismisses VNR Infrastructures Liquidator's Plea on Garnishee Order

The NCLT dismissed the liquidator's application, holding that a garnishee order issued before CIRP initiation removes funds from the liquidation estate.
The tribunal ruled that Rs. 1 crore withheld by the PF Commissioner for 2008-2012 dues does not form part of the liquidation estate.
The garnishee order was issued prior to insolvency, so the funds are not available for distribution under Section 53 of the IBC.