Practice Area

IBC & Insolvency

The Insolvency and Bankruptcy Code, 2016 has fundamentally restructured how financial distress is managed in India. The firm advises across the full spectrum of IBC proceedings.

Financial Creditor Applications — Section 7

Section 7 of the IBC permits a financial creditor to initiate the Corporate Insolvency Resolution Process (CIRP) upon default of a financial debt. The application is filed before the National Company Law Tribunal (NCLT) and must satisfy the threshold of INR 1 crore. The firm advises financial creditors — banks, NBFCs, debenture holders, and other structured finance counterparties — on the preparation and filing of Section 7 applications, including the documentation of the financial debt, proof of default, and responses to preliminary objections raised by the corporate debtor.

The firm also advises on the strategic timing of Section 7 filings, the interaction between Section 7 proceedings and ongoing security enforcement actions, and the implications of filing in the context of existing arbitration or civil proceedings.

Operational Creditor Applications — Section 9

Section 9 permits an operational creditor to initiate CIRP upon non-payment of an operational debt. The procedure requires service of a demand notice under Section 8, followed by the Section 9 application if the debt remains undisputed and unpaid. The firm advises operational creditors — including vendors, service providers, and employees — on the preparation of demand notices, responses to disputed debt claims, and the filing and prosecution of Section 9 applications.

Resolution Plan Advisory

The resolution plan is the commercial and legal instrument through which a resolution applicant acquires a distressed company and restructures its obligations. The firm advises resolution applicants on plan structuring, financial modelling inputs from a legal perspective, treatment of different classes of creditors, Section 29A eligibility analysis, and the approval process before the Committee of Creditors and the NCLT.

The firm also advises financial creditors on evaluating resolution plans submitted by competing applicants, including compliance with the Insolvency and Bankruptcy Board of India (IBBI) regulations and the applicable case law on minimum liquidation value and fair treatment of creditors.

NCLAT and Supreme Court Appeals

IBC matters that are decided by the NCLT are subject to appeal before the National Company Law Appellate Tribunal (NCLAT). From the NCLAT, further appeal lies to the Supreme Court under Section 62 of the IBC. As an AOR at the Supreme Court, the firm provides full appellate representation in IBC matters — from NCLAT filings through to Supreme Court hearings.