The National Company Law Appellate Tribunal (NCLAT) on Thursday allowed the Dutch court administrator of Jet Airways to attend the committee of creditors (CoC) meetings of the bankrupt carrier.
The order assumes significance as the Insolvency and Bankruptcy Code 2016 does not deal with cross-border insolvency, which means when insolvency proceedings are moved against the same company in two different countries. A three-member NCLAT Bench said the Dutch administrator would be part of the CoC meeting and would be given minutes of the meetings.
The appellate tribunal also set aside the earlier order of the Mumbai bench of the National Company Law Tribunal (NCLT), which had refused to recognise the Dutch insolvency proceedings. The NCLT had barred Dutch court administrator from taking part in the Jet insolvency proceedings in India.
The appellate tribunal order came after the resolution professional (RP) of Jet and the Dutch court administrator agreed to coordinate in the insolvency proceedings ongoing in India.
Earlier, during the last hearing, the NCLAT had directed the Jet RP and Dutch court to file the terms and conditions of their agreement. The NCLAT’s direction came while hearing a petition filed by the Dutch court administrator against the order of the Mumbai bench of the NCLT, which had declared overseas bankruptcy proceedings null and void. —FE