The National Company Law Appellate Tribunal (NCLAT) has rejected NCLT’s order to initiate the insolvency process against e-commerce company Flipkart. A three-member bench of the NCLAT relieved Flipkart from the insolvency resolution process and directed the NCLT-appointed Interim Resolution Professional (IRP) to immediately hand over the company’s records and assets to its promoter.
Earlier on October 24, 2019, the Bangalore bench of the National Company Law Tribunal (NCLT) accepted the insolvency petition filed by Cloudwalker Streaming Technologies, an operational lender of Flipkart.
NCLAT said, ‘We rejected the order passed by NCLT on October 24, 2019. Along with this, the petition filed under section 9 by the operating lender Cloudwalker Streaming Technologies has also been dismissed.
The tribunal said, “Flipkart India has been excluded from the company’s insolvency resolution process.” This order has been issued by NCLAT on a petition filed by Flipkart India director Neeraj Jain.
