Whether Debts of a Proprietorship Can Be Clubbed with a Company to Trigger Section 9 IBC? NCLAT Clarifies in Bhushan Power & Steel v. AG Pipes
Can a creditor aggregate the debts of a sole proprietorship with those of a private limited company to meet the statutory ₹1 crore threshold under the Insolvency and Bankruptcy Code (IBC), simply because they share common management? In the matter of Bhushan Power & Steel Ltd. v. A.G. Pipes Pvt. Ltd1, the National Company Law Appellate Tribunal (NCLAT) totally rejected […]
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