Category: Volume 5 and Issue 1 of 2025

THE ROLE OF NCLT AND NCLAT IN SHAPING INSOLVENCY JURISPRUDENCE IN INDIA

AUTHOR – SHIVANGI SINGH, STUDENT AT BENNETT UNIVERSITY

BEST CITATION – SHIVANGI SINGH, THE ROLE OF NCLT AND NCLAT IN SHAPING INSOLVENCY JURISPRUDENCE IN INDIA, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (1) OF 2025, PG. 12-26, APIS – 3920 – 0001 & ISSN – 2583-2344.

ABSTRACT

The Insolvency and Bankruptcy Code (IBC), 2016, transformed India’s insolvency landscape, providing a much-needed framework for resolving financial distress in a time-bound and structured manner. At the heart of this transformation lie the National Company Law Tribunal (NCLT) and the National Company Law Appellate Tribunal (NCLAT), which have played a critical role in interpreting and applying the provisions of the IBC. Through landmark decisions such as Innoventive Industries Ltd. vs. ICICI Bank Ltd., Essar Steel India Ltd. vs. Satish Kumar Gupta, and Swiss Ribbons Pvt. Ltd. vs. Union of India, these tribunals have not only resolved disputes but also shaped the broader jurisprudence of insolvency law in India.

This paper delves into these pivotal rulings to uncover how they have addressed key challenges in the IBC, such as protecting creditor rights, balancing interests among stakeholders, ensuring fairness in resolution plans, and maintaining strict adherence to timelines. It highlights emerging themes, including the evolving role of the Committee of Creditors (CoC) and the tribunals’ balancing act between commercial decision-making and judicial oversight. While the NCLT and NCLAT have made significant contributions, they are not without criticism. Issues like procedural delays and accusations of overreach highlight areas needing reform. Despite these challenges, the tribunals have undeniably strengthened the IBC and provided a foundation for more predictable insolvency proceedings. This paper explores their impact, assesses their effectiveness, and reflects on what lies ahead for India’s insolvency ecosystem.

BOOK REVIEW OF DEATH BENEFITS BY J.W. BECTON

AUTHOR – PRASUN BALLABHA, STUDENT AT CHRIST UNIVERSITY, DELHI-NCR CAMPUS

BEST CITATION – PRASUN BALLABHA, BOOK REVIEW OF DEATH BENEFITS BY J.W. BECTON, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (1) OF 2025, PG. 05-11, APIS – 3920 – 0001 & ISSN – 2583-2344.

SUMMARY OF THE BOOK

An insurance company’s industrious claims adjuster, Julia Jackson, is tasked with looking into a strange death claim involving Derek Thompson, a man who appeared healthy yet passed away unexpectedly. Julia has concerns after seeing the unusually big claim made by Rebecca Thompson, Derek’s wife. Julia’s suspicions of foul play are heightened by Rebecca’s cool-headedness during their exchanges.

TRANSFORMING AN OPC INTO A PRIVATE LIMITED COMPANY: PROCEDURES AND BENEFITS

AUTHOR – ARYAN ANAND,STUDENT OF BA LL.B (HONS.), CHANDIGARH UNIVERSITY

BEST CITATION – ARYAN ANAND, TRANSFORMING AN OPC INTO A PRIVATE LIMITED COMPANY: PROCEDURES AND BENEFITS, INDIAN JOURNAL OF LEGAL REVIEW (IJLR), 5 (1) OF 2025, PG. 01-04, APIS – 3920 – 0001 & ISSN – 2583-2344.

Abstract:

The current paper is associated with the procedures involved in transforming an OPC into a PLC, which falls under the jurisdiction of the Companies Act of 2013. The idea behind this topic in this introductory chapter gives background regarding the creation of a legal entity form of OPC where particularly it is established in a way that in one OPC form one person acts both as its member and also its director as it is otherwise for PLC for Private Limited Companies as it compulsorily includes two members along with directors to create such company. It is further mentioned that one of the main reasons for converting an OPC into a PLC is the increase in membership, capital limits, better liability management, and increased business reputation. The arguments for not staying as an OPC, which include attracting more investors, the need for joint decision-making, and more effective exit strategies are also put forth. The procedure for conversion is then thoroughly examined through such steps as, the calling of a Board meeting, the adoption of requisite resolutions, the submission of Form No. INC 6 to the Registrar of Companies, changes in the Memorandum of Association and Articles of Association, and the granting of the notification of the Certificate of Incorporation. Lastly, the responsibilities involving the incorporation where such incorporation must involve the directors and the shareholders of the OPC, are also provided. Conversion of OPC into a private company begins with Directors overseeing the entire process by being compliant with legal requirements and communicating with shareholders. Shareholders on the other hand are crucial in making resolutions and restructuring the company’s capital ratio. The conclusion of the article addresses the problems in the conversion process and conflicts between directors and shareholders.

Keywords: One Person Company, Private Limited Company, Conversion Procedure, Shareholders and Directors, Corporate Governance, Capital Structure, Legal Compliance