Power Trust (Promotor Of Hiranmaye ... vs Bhuvan Madan (Interim Resolution ...

The Supreme Court examined an appeal filed by the promoter of Hiranmaye Energy Ltd. challenging the admission of a corporate insolvency resolution process (CIRP) against the company under Section 7 of the Insolvency and Bankruptcy Code, 2016. The National Company Law Tribunal (NCLT) had admitted the application filed by REC Ltd., and the National Company Law Appellate Tribunal (NCLAT) upheld this admission. The Court considered the validity of the initiation of CIRP based on the loan default and upheld the orders of the NCLT and NCLAT, affirming the commencement of insolvency proceedings against the corporate debtor.