M/S. INNOVENTIVE INDUSTRIES LTD vs ICICI BANK

The Supreme Court ruled that the Insolvency and Bankruptcy Code, 2016, under Section 238, prevails over the Maharashtra Relief Undertakings (Special Provisions) Act, 1958, thereby allowing the insolvency resolution process to proceed despite the temporary suspension of liabilities under the Maharashtra Act. The Court held that the appellant's claims regarding the non-release of funds under the Master Restructuring Agreement did not absolve it from its obligations under the Code. Consequently, the appeal was dismissed, affirming the NCLT's order to initiate insolvency proceedings.