Articles and Updates

Dissenting Financial Creditor Vs. The Committee Of Creditors: Who Prevails?
  • Vasanth Rajasekaran (New Delhi) - 28-06-2021

In a recent decision in India Resurgence ARC Pvt. Ltd. v. M/s Amit Metalinks Ltd. & Anr.1, the Hon'ble Supreme Court held that a security interest available to a dissenting financial creditor over the assets of the corporate debtor does not give it a right over and above other financial creditors. Thus, the dissenting financial creditor cannot enforce the entire security interest and bring about an inequitable scenario by receiving amounts beyond the receivable liquidation value proposed for the same class of creditors. The present article briefly summarises the findings of the Hon'ble Supreme Court in the decision mentioned above.

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Recognising Emergency Arbitrations In India: The Need Of The Hour?
  • Vasanth Rajasekaran - 28-06-2021

Emergency arbitrations are conducted in pursuance of an agreement between the disputants, often on short notice due to the scarcity of time and urgency of the relief sought. Parties prefer invoking provisions for emergency arbitration for seeking interim reliefs, which would prevent the frustration of the subject matter of the dispute. Emergency arbitration has gained prominence in the context of the Indian arbitral regime as the Amazon-Future group dispute made it to the headlines. The present article briefly discusses the important aspects of emergency arbitrations and their current status in India.

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New Rules For Digital Media: Taming A Wild Horse?
  • Vasanth Rajasekaran and Nayantara Narayan - 21-06-2021

The Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021 ("New Rules") were notified by the Ministry of Electronics and Information Technology on 25th February 2021. Part III of the New Rules introduce provisions for the regulation of digital media along with a code of ethics. This article analyses the impact of Part III of the New Rules. In the first article of a two-part series, we analysed Part II of the New Rules.1

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Supreme Court: Powers Under Section 482 Code Of Criminal Procedure Cannot Be Exercised To Defeat The Statutory Mandate Of The Insolvency And Bankruptcy Code
  • Vasanth Rajasekaran, Saurabh Babulkar and Anand Chichra - 09-06-2021

In its recent decision of Sandeep Khaitan, Resolution Professional for National Plywood Industries Ltd. v. JVSM Plywood Industries Ltd.1, the Supreme Court ruled that the inherent powers of a court under Section 482 of the Code of Criminal Procedure ("CRPC") cannot be exercised to defeat or undermine the statutory dictate of Sections 14 & 17 of the Insolvency and Bankruptcy Code, 2016 ("IBC").

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Calcutta High Court: Claims Of Arbitral Award Holder Not Filed Under The IBC Rendered Infructuous Upon Approval Of Resolution Plan
  • Vasanth Rajasekaran, Saurabh Babulkar and Anand Chichra - 09-06-2021

The Calcutta High Court ("High Court") in its recent judgement of Sirpur Paper Mills Limited v. I. K. Merchants Pvt. Ltd.1 settled the debate on an integral point of law on the interplay between the Insolvency and Bankruptcy Code, 2016 ("IBC") and the Arbitration and Conciliation Act, 1996 ("Arbitration Act"). The High Court held that the approval of a resolution plan under the IBC in relation to a corporate debtor, would extinguish the claims of the award holder under the Arbitration Act against such corporate debtor.

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