The National Company Law Appellate Tribunal (NCLAT) upheld the order of NCLT (Mumbai Bench), directing to initiate insolvency resolution process against Sahara group subsidiary Sahara Q Shop Unique Products Range Ltd.
NCLAT Bench headed by Chairman Justice S J Mukhopadhaya upheld the order passed by the National Company Law Tribunal (NCLT). NCLT had on December 15, 2017 allowed the insolvency plea filed by S Gurumoorthy, an operational creditor under section 9 of the Insolvency and Bankruptcy Code (IBC).
Further NCLAT said: “we find that except vague statement made by the Appellant, there is nothing on the record to suggest that the Hon’ble Supreme Court has passed specific order prohibiting ‘M/s. Sahara Q Shop Unique Products Range Limited’- (‘Corporate Debtor’) to release or pay any amount.