National Company Law Appellate Tribunal (NCLAT) has set aside a petition filed by the State Tax Department asking to claim dues against Reliance Communications based on an assessment made after the company’s insolvency resolution process started, reported the news agency PTI on Saturday, September 21.
“Apart from the reasons given by the Adjudicating Authority (NCLT), we are of the view that the claim which was on the basis of the assessment made subsequent to the initiation of CIRP could not have been admitted,” said Chairperson Justice Ashok Bhushan and Arun Baroka, part of the NCLAT bench, as per the report.
The two members of the NCLAT bench upheld the prior order passed by the Mumbai bench of National Company Law Tribunal (NCLT), which rejected the State tax department’s ₹6.10 crore claim, according to the agency report.
