Authority: Calcutta High Court
Order Date: 14 October 2026
Case Overview
- Petitioner: Tega Mcnally Minerals Limited (formerly Mcnally Sayaji Engineering Private Limited) filed writ petition WPA 10454 of 2026 challenging the validity and maintainability of a reassessment order for Assessment Year 2018‑19, asserting that a Section 31 order under the Insolvency and Bankruptcy Code, 2016 had been passed against it prior to the assessment.
- Respondents: Union of India and others.
- The company was admitted to the Corporate Insolvency Resolution Process (CIRP) by an order dated 11 February 2021; a moratorium under Section 14 IBC was declared and an Insolvency Resolution Professional appointed. Public announcement of the CIRP was made on 15 February 2021.
- Petitioner relied on judgments: Srei Equipment Finance Ltd. vs Union of India (2026 SCC Online Cal 14833), Supreme Court decisions in Ghanashyam Mishra & Sons Pvt Ltd. vs Edelweiss ARC (2021 9 SCC 657) and Ruchi Soya Industries Ltd. vs Union of India (2022 6 SCC 343), contending that after successful CIRP, all recovery proceedings are extinguished.
- Respondents submitted written instructions, argued that the Supreme Court judgments are distinguishable on facts, but also acknowledged that Supreme Court judgments are binding.
Final Outcome
- The writ petition is disposed; the Court stays the reassessment proceedings for AY 2018‑19.
- Respondents may initiate any further proceedings only after a Section 31 order under the IBC is passed.
Topics: Taxation, Insolvency