Insolvency & Bankruptcy Counsel
Corporate insolvency requires a rigorous understanding of the Insolvency and Bankruptcy Code (IBC), 2016. Veeraya Legal provides professional legal counsel and representation for creditors, corporate debtors, and resolution professionals before the National Company Law Tribunal (NCLT) and the National Company Law Appellate Tribunal (NCLAT).
Strategic Insolvency Litigation
The IBC framework is highly procedural and time-bound. We assist clients in navigating the resolution process, protecting corporate assets, and ensuring statutory compliance through every phase of insolvency.
- CIRP Initiation (Sec 7 & 9 Petitions)
- Representation in NCLT & NCLAT
- Management of Moratoriums (Section 14)
- Avoidance Transaction Advisory (PUFE)
- Liquidation & Voluntary Winding Up
- Verification of Claims & Asset Recovery
Core Insolvency & Bankruptcy Practice
We represent stakeholders throughout the insolvency lifecycle—from the initial petition for admission to the resolution plan approval and final liquidation, focusing on protecting creditor rights and maintaining corporate value.
CIRP Initiation
Advising financial and operational creditors on the filing of applications under Section 7 and Section 9 of the IBC, ensuring procedural compliance for admission by the NCLT.
Moratorium & Interim Relief
Securing and defending applications for moratoriums under Section 14 to protect corporate assets from coercive recovery actions during the resolution process.
Avoidance Transactions (PUFE)
Assisting Resolution Professionals in identifying Preferential, Undervalued, Fraudulent, and Extortionate (PUFE) transactions and filing the necessary applications to claw back assets for creditors.
Liquidation Advisory
Representing stakeholders during the liquidation phase, including verification of creditor claims, management of the liquidation estate, and final dissolution petitions.
Navigating the Corporate Resolution Process
The Insolvency and Bankruptcy Code (IBC) has transformed corporate insolvency in India, prioritizing the resolution of assets over liquidation. Success in NCLT proceedings relies on meticulous adherence to strict, time-bound statutory requirements.
At Veeraya Legal, we provide comprehensive representation in the Corporate Insolvency Resolution Process (CIRP). We represent financial creditors seeking to recover their dues, as well as operational creditors struggling with pending invoices. We also counsel corporate debtors on structuring their defenses to prevent unnecessary insolvency triggers and protect management control during the pre-admission phase.
A significant aspect of our practice involves acting as legal advisors to Resolution Professionals (RPs). We assist in the complex verification of claims, the management of the Committee of Creditors (CoC) meetings, and the legal drafting of resolution plans.
Furthermore, we handle high-stakes litigation regarding Avoidance Transactions. If a company has diverted assets prior to entering insolvency, we pursue applications before the NCLT to have these transactions reversed, thereby enhancing the asset pool for legitimate creditors. Our litigation strategy is founded on the judicial precedents established by the NCLAT and the Supreme Court of India.
Section 7
Financial Creditors
Section 9
Operational Creditors
Section 14
Moratorium Protection
PUFE
Transaction Avoidance
Legal Information & FAQs
Who can initiate the Corporate Insolvency Resolution Process (CIRP)?
The CIRP can be initiated before the NCLT by a Financial Creditor under Section 7 (e.g., banks and NBFCs), an Operational Creditor under Section 9 (e.g., suppliers, service providers, or employees), or by the Corporate Debtor itself under Section 10 of the Insolvency and Bankruptcy Code, 2016.
What is a Moratorium under the IBC?
Upon the admission of an insolvency application, the Adjudicating Authority (NCLT) declares a moratorium. During this period, all ongoing suits, proceedings, and recovery actions against the corporate debtor are strictly prohibited, ensuring the protection of assets and maintaining the status quo for the insolvency resolution.
What is the difference between Section 7 and Section 9 of the IBC?
Section 7 is invoked by Financial Creditors who have provided financial debt; the NCLT only needs to satisfy itself that a debt exists and a default has occurred. Section 9 is invoked by Operational Creditors to whom operational debt is owed; the application may be rejected if there is a pre-existing dispute regarding the debt.
What are PUFE transactions in insolvency proceedings?
PUFE stands for Preferential, Undervalued, Fraudulent, and Extortionate transactions. The Resolution Professional has a statutory duty to identify these transactions, which occurred prior to insolvency, and file applications with the NCLT to claw back assets for the benefit of the creditors.
Professional Counsel for Insolvency Matters
Navigating the IBC framework requires strict procedural adherence and highly specialized litigation experience. Veeraya Legal provides the professional counsel necessary to represent your interests effectively before the NCLT and appellate tribunals.
Contact Our Insolvency Team