NCLAT upholds liquidation order for Moser Bael Solar

The National Company Law Appellate Tribunal (NCLAT) has upheld NCLT’s liquidation order for Moser Baer Solar (MBSL). As the debt-ridden company failed to find any takers within the stipulated 270-day time-frame since initiation of the insolvency process in November 2017, the National Company Law Tribunal (NCLT) had, on May 30, 2019, ordered the company to go under liquidation.

The two-member NCLAT bench, headed by Justice S J Mukhopadhaya, however, ordered on Tuesday that MBSL can ‘continue as a going concern to ensure revival and resolution even during the liquidation process’. Challenging NCLT’s order, MBSL had approached NCLAT contending that the company was eligible for Rs 270 crore subsidy from the Central government and ‘the order of liquidation may affect the corporate debtor and if the Cental government comes to know that it has gone for liquidation, it may not allow subsidies’.