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Nihaad Dewan

Senior Associate in the Litigation and Arbitration Practice at the NOIDA office of Cyril Amarchand Mangaldas. Nihaad is experienced the field of corporate commercial litigation, insolvency resolution, arbitrations and appellate side practice before the Supreme Court and the Delhi High Court. He can be reached at nihaad.dewan@cyrilshroff.com

Fresh Start: Balance Sheet Entries Read With Supporting Records Constitute Debt Aknowledgement, Resets Limitation

Summary: The Supreme Court has held that entries in a corporate debtor’s balance sheet, when read alongside corroborative materials including cash flow statements, constitute a valid acknowledgement of debt under Section 18 of the Limitation Act, 1963, thereby resetting the period of limitation for creditors to initiate insolvency proceedings. This ruling strengthens the position of creditors under the Insolvency and Bankruptcy Code, 2016, ensuring that procedural technicalities do not frustrate their rights to take recourse through insolvency proceedings. It also places greater responsibility on auditors and accountants, as financial statements may now carry significant consequences for both debtors and creditors by operating as binding acknowledgements of liability.Continue Reading Fresh Start: Balance Sheet Entries Read With Supporting Records Constitute Debt Acknowledgement, Resets Limitation

Real Estate Insolvency: Waivers contemplated under approved resolution plan override transfer / change in shareholding charges demanded by Industrial Development Authorities

In a recent judgment[1], the Hon’ble Supreme Court has upheld the approval of a resolution plan which provided that there should be an exemption from payment of (i) any type of fees/ penalties for renewal of sub-lease; and (ii) transfer charges due to change in directorship/ shareholding in favour of the resolution applicant…

Extension under Section 29A of Arbitration and Conciliation Act, 1996 not a possibility if application for extension is not made while mandate subsisted

The Hon’ble Calcutta High Court in Rohan Builders (India) Pvt. Ltd v Berger Paints India Limited 2023 SCC OnLine Cal 2645 recently deliberated on the issue of whether Courts can extend an arbitral tribunal’s mandate under Section 29A(4) of the Arbitration and Conciliation Act, 1996 (“the Act”), after the mandate of the arbitral tribunal has been terminated.Continue Reading Extension under Section 29A of Arbitration and Conciliation Act, 1996 not a possibility if application for extension is not made while mandate subsisted