Case Note & Summary
This is an interim order in a company appeal under the Insolvency and Bankruptcy Code, 2016, before the National Company Law Appellate Tribunal (NCLAT), Chennai Bench. The appellant, Nandamuri Meenalatha, erstwhile director of Vantage Spinners Pvt. Ltd., filed the appeal against The Cotton Corporation of India Ltd and another respondent. The matter was listed under a caption where adjournments are not ordinarily entertained. However, the learned counsels for both parties made a joint statement that the parties are engaged in settlement negotiations, which may be finalized within two weeks. They requested the matter be listed after two weeks. The Tribunal, considering the joint request, adjourned the appeal to 11.08.2025 and directed that any earlier interim order granted by the Tribunal shall continue until the next date of hearing. The order was passed by Justice Sharad Kumar Sharma (Member Judicial) and Jatindranath Swain (Member Technical) on 24.07.2025.
Headnote
A) Insolvency Law - Settlement - Adjournment - Insolvency and Bankruptcy Code, 2016 - Parties sought time to finalize settlement outside the Tribunal - Tribunal adjourned the matter to 11.08.2025 and directed continuation of earlier interim orders - Held that settlement negotiations are a valid ground for adjournment (Para 1).
Issue of Consideration
Whether the appeal should be adjourned to facilitate settlement between the parties.
Final Decision
Appeal adjourned to 11.08.2025; earlier interim order to continue.
Law Points
- Settlement negotiations
- adjournment
- continuation of interim orders
