IBC moratorium issue referred to larger bench
India, May 29 -- The Supreme Court has sought an authoritative ruling by a larger bench on the interplay between insolvency moratorium provisions and cheque bounce prosecutions, referring to the CJI the question whether proceedings under Section 138 of the Negotiable Instruments (NI) Act can continue against business entities undergoing insolvency resolution. A bench of justices JB Pardiwala and KV Viswanathan held that the issue raises important questions touching the nature of cheque dishonour proceedings and the scope of the moratorium under the Insolvency and Bankruptcy Code, warranting consideration by a larger bench.P14...
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