NCLT and Insolvency Practice
Our Dispute Resolution practice represents companies, creditors, promoters, resolution professionals, and committees of creditors before the National Company Law Tribunal in insolvency proceedings under the IBC, 2016, oppression and mismanagement petitions under the Companies Act, 2013, and merger and amalgamation applications. As an Advocate-on-Record with the Supreme Court of India, we take matters from the NCLT through the NCLAT and to the Supreme Court without change of counsel.
- We represent financial creditors, operational creditors, corporate debtors, resolution professionals, and committees of creditors in CIRP proceedings under the IBC, 2016 across the full timeline from application through the resolution plan or liquidation.
- As an Advocate-on-Record with the Supreme Court of India, we take matters from the NCLT through the NCLAT and to the Supreme Court without change of counsel — managing the appellate record from the outset.
- In our experience of oppression and mismanagement proceedings, the quality of the documentary record built during the corporate relationship determines the outcome more often than the quality of legal argument.
- We manage NCLT merger and amalgamation applications under Sections 230–232, including the full regulatory no-objection workstream with SEBI, income tax authorities, CCI, and sector regulators.
- Our Arbitration & ADR practice manages the parallel arbitration proceedings that frequently run alongside NCLT petitions in shareholder disputes — coordinated strategy from a single team.
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The IBC, 2016 — The Framework We Work Within
The Insolvency and Bankruptcy Code, 2016 introduced a time-bound Corporate Insolvency Resolution Process with a default 180-day timeline (extendable to 330 days), the IBBI as regulator, the NCLT as adjudicating authority, and the inversion of the creditor-debtor relationship — from a debtor-in-possession model to one where management is displaced by an insolvency professional on the day of admission. The Code distinguishes between financial creditors — banks, NBFCs, debenture holders — and operational creditors — vendors, employees, government authorities — each having a distinct pathway to initiation and representation within the CIRP.
Initiating the CIRP — Section 7, 9, and 10 Applications
We prepare Section 7 applications for financial creditors on proof of financial debt and default, advising on the evidence required and the strategic considerations in the run-up to filing. We advise operational creditors on the Section 8 demand notice requirement and the ten-day response period — assessing the pre-existing dispute risk in every matter. For corporate debtors seeking voluntary CIRP initiation under Section 10, we advise on the special resolution of shareholders required and the preparation of the application.
“In our IBC advisory experience, the day of NCLT admission is the day management loses control. Preparation must be complete before the application is filed — not addressed after admission.”The CIRP Process — How We Represent Clients Through Resolution
We represent clients at every stage of the CIRP: IRP appointment, moratorium, management handover, constitution and operation of the committee of creditors, voting rights, assessment of resolution plans, and review of plans for adequacy of creditor treatment and legal compliance. Our Constitutional, Regulatory & Appellate Practice and White Collar & Criminal Litigation teams work alongside our NCLT counsel where matters involve regulatory enforcement or criminal exposure.
Oppression and Mismanagement — Our Section 241 Practice
We represent petitioners and respondents in oppression and mismanagement proceedings under Sections 241–244 of the Companies Act, 2013 — available to members holding not less than one-tenth of the issued share capital. We advise on the grounds available and on the breadth of NCLT remedies under Section 242, from regulating the company’s affairs to ordering the purchase of shares by other members. The most effective petitions are built on detailed, contemporaneous documentary evidence.
Corporate Mergers and Restructuring — Our NCLT Application Practice
We manage statutory merger and amalgamation applications under Sections 230–232 of the Companies Act, 2013 — from NCLT application through court-convened meetings, the second NCLT application, and the final merger order. We manage the full regulatory no-objection workstream and the Companies (Cross Border Mergers) Rules, 2018 process for mergers involving foreign entities, which requires RBI approval in addition to NCLT sanction. As an Advocate-on-Record with the Supreme Court of India, with 13 partners and 220+ professionals across New Delhi, Mumbai, Chennai, Hyderabad, and Bangalore.
Frequently Asked Questions
nclt-and-insolvency-practice-faq
A financial creditor may file a Section 7 application on proof of financial debt and default. An operational creditor may file a Section 9 application after serving a demand notice under Section 8 and allowing ten days for payment or a credible pre-existing dispute to be raised. A corporate debtor may file a Section 10 application by special resolution of its shareholders, where management recognises the business cannot service its debts.
On admission, an Interim Resolution Professional is appointed and management of the corporate debtor is displaced — the IRP assumes management with effect from the order of admission. A moratorium comes into force, preventing initiation or continuation of suits, arbitrations, and enforcement actions against the corporate debtor during the Corporate Insolvency Resolution Process.
Under Sections 241–244 of the Companies Act, 2013, members holding not less than one-tenth of the issued share capital may petition the NCLT on grounds of oppression or mismanagement. ‘Oppression’ has been interpreted broadly to include exclusion from management, improper dilution of minority shareholding, diversion of company assets to related parties, and failure to maintain accounts. The NCLT has wide discretion under Section 242 in fashioning remedies.
The IBC, 2016 prescribes a default CIRP timeline of 180 days from the date of admission, extendable by the NCLT to 330 days in exceptional circumstances. In practice, complex matters involving multiple creditors, large asset bases, and contested resolution plans frequently take longer. The strict timeline is the IBC’s primary structural departure from predecessor insolvency law.
Yes. Appeals from NCLT orders lie to the National Company Law Appellate Tribunal (NCLAT), and from NCLAT to the Supreme Court of India. As an Advocate-on-Record with the Supreme Court of India, our practice handles the full appellate chain without change of counsel — an important advantage in insolvency and corporate dispute matters where the appellate record must be managed from the initial NCLT filing.