Vasan Health Care insolvency process cannot be started afresh, says National Company Law Tribunal

Company Law Tribunal says this will upset the timelines

The National Company Law Tribunal (NCLT), Chennai, has said the entire corporate insolvency resolution process for Vasan Health Care Private Limited cannot be started afresh from the stage of issuance of expression of interest because it will upset the timelines prescribed under the Insolvency and Bankruptcy Code, 2016. The NCLT’s observation came on a petition for extension of the time frame under the insolvency process. In 2017, the NCLT ordered the start of insolvency proceedings against Vasan Health Care on a petition filed by Alcon Laboratories (India) Pvt. Ltd., one of its suppliers. However, the proceedings were stayed by a single judge of the Madras High Court. In October 2019, a Division Bench vacated the stay, and the case was back at the NCLT.