Judicial Member Manorama Kumari of the Ahmedabad bench of the National Company Law Tribunal allowed a request to relax the timeline for completion of its Resolution Plan.
Consortium Resolution Applicant of Shaifali Rolls Ltd. had stated that till February, 2020, it had duly submitted Audit Reports and Cash flow Statement to the Monitoring Committee. However, it was not possible for the applicant to meet the timeline stipulated in the Resolution Plan, amid the lockdown as there was no definite cash flow.
It therefore requested the Tribunal to revise the timeline for four months, from the opening of the lockdown and exclude the period of lockdown from the timeline of its Resolution Plan.
The relief was granted keeping in mind the lockdown and suspension of business, which adversely impacted the company’s cash flow.