NCLAT said - IBC is more effective than TRAI Act, petition filed in RCom case rejected
TRAI-RCOM Row: NCLAT also rejected the second petition filed by TRAI, in which it had demanded to direct the resolution professional of RCom to pay the statutory dues of Rs 85.10 lakh.
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“NCLAT said - IBC is more effective than TRAI Act, petition filed in RCom case rejected”
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en.sangritimes.com
7 Nov 2024
As per the bankruptcy tribunal NCLAT, the Insolvency and Bankruptcy Code (IBC) will also apply to the provisions of the Indian Telecom Services Regulatory Authority (TRAI) Act. The telecom regulator TRAI filed a petition during the bankruptcy proceedings of the closed service provider company RCom, however, the National Company Law Appellate Tribunal (NCLAT) denied it.
Additionally, the NCLAT denied TRAI's second appeal, which called for the resolution professional of RCom to order the payment of Rs 85.10 lakh in statutory dues.
A three-member NCLAT bench said, "The argument of the appellant (TRAI) that the Act being a special law will prevail over the provisions of the IBC cannot be accepted."
