IBC not Applicable to Money Recovery Proceedings

In the case of Invest Asset Securitisation and Reconstruction Pvt. Ltd. versus Girnar Fibres Ltd., the Supreme Court (‘SC’) observed that the provisions of Insolvency and Bankruptcy Code, 2016 (‘IBC’) are essentially intended to bring the corporate debtor to its feet and are not of money recovery proceedings as such. While noting that, “The intent of the appellant had only been to invoke the provisions of the Code so as to enforce recovery against the corporate debtor”, the SC dismissed the appeal.