# Rajiv Chakraborty RP of EIFL Vs. Directorate of Enforcement  W.P (C) 9531/2020,CM APPL.30578/2020

> HC judgment dated 2022-11-11. Citation: TCN-2022-HC-00016. This writ petition concerns the impact of a moratorium under Section 14 of the Insolvency and…

- **Court:** HC
- **Order date:** 11 Nov 2022
- **Citation:** TCN-2022-HC-00016
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/high-courts-new-delhi/rajiv-chakraborty-rp-of-eifl-vs-directorate-of-enforcement-wp-aad00256

## Summary

### Background

This writ petition concerns the impact of a moratorium under Section 14 of the Insolvency and Bankruptcy Code (IBC) on the Enforcement Directorate's (ED) powers to enforce attachments under the Prevention of Money Laundering Act (PMLA). The petition challenges attachment orders made by the ED, specifically provisional attachment orders (PAOs) dated 08 July 2020 and 05 August 2020, later confirmed by the Adjudicating Authority on 01 January 2021 and 29 January 2021. The petitioner, the Resolution Professional of Era Infra Engineering Limited (EIEL), argues that the moratorium under the IBC prevents the ED from exercising powers under the PMLA.

## Issues and analysis

### Issue 1: Whether the moratorium under Section 14 of the Insolvency and Bankruptcy Code (IBC) bars the …

**Ratio:** The power to attach under the PMLA is not akin to actions for enforcement or recovery of

…

**Reasoning:** The Court reasons that the objectives of the IBC and PMLA are distinct. The IBC aims at

…

**Interpretation:** The Court interprets Section 14 of the IBC and the powers of the ED under the

…

**Application:** The Court applies the ratio to the facts by holding that the moratorium under

…

## Parties

- **Judges:** YASHWANT…
- **Appellants:** RAJIV CHAKRABORTY…
- **Respondents:** Era Infra…; DIRECTORATE OF…
- **Other parties:** 7th Edition…; IBC vs…; +9 more
- **Advocates:** Abhinav V…; Shivank…; +3 more

## Timeline

- **2018-04-19 — Freezing of Bank…**: The ED proceeded to freeze…
- **2018-05-08 — Commencement of…**: Insolvency proceedings against EIEL…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 14 — Moratorium](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-14)

---

This is a preview. The full structured summary, issues, precedents and source judgment are available on CaseEase - Legal Intelligence Simplified: https://caseease.in/cases/ibc/high-courts-new-delhi/rajiv-chakraborty-rp-of-eifl-vs-directorate-of-enforcement-wp-aad00256