# In the matter of Punit Garg & Satish Seth Vs. Ericsson India Pvt. Ltd. & Ors. CA (AT) (Insolvency) No. 255 to 258-2018

> NCLAT judgment dated 2019-03-26. Citation: TCN-2019-NCLAT-00709. The case involves multiple appeals against the initiation of the Corporate Insolvency…

- **Court:** NCLAT
- **Order date:** 26 Mar 2019
- **Citation:** TCN-2019-NCLAT-00709
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/punit-garg-satish-seth-vs-ericsson-india-pvt-ltd-ors-ca-1bb8e2dd

## Summary

### Background

The case involves multiple appeals against the initiation of the Corporate Insolvency Resolution Process against Reliance Communication Limited. The appeals challenge show-cause notices issued by the Department of Telecommunications (DoT) regarding the revocation of spectrum due to default in payment and breach of license agreement. The Appellant argues that these notices violate an interim order passed by the Appellate Tribunal prohibiting the sale, transfer, or alienation of the Corporate Debtor's property or invocation of guarantees without prior permission. The Interlocutory Application was filed for clarification of an earlier order and challenging the show-cause notices issued by the DoT.

## Facts

The case involves appeals against the initiation of the Corporate Insolvency Resolution Process (CIRP) against Reliance Communication Limited. An interim order was initially passed on May 30, 2018. The Appellants sought to withdraw the appeal. However, the Appellate Tribunal, instead of allowing withdrawal, passed an order on February 4, 2019, listing the case for urgent mentioning and allowing the Respondent(s) to file a reply affidavit. This order also prohibited the Appellants, Corporate Debtor, Respondent(s), Guarantors, or any third party from selling, transferring, or alienating any property of the Corporate Debtor or invoking any guarantee or mortgage without prior permission. Subsequently, the Department of Telecommunications (DoT) issued show-cause notices

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## Issues and analysis

### Issue 1: Whether the show-cause notices issued by the Department of Telecommunications (DoT) and the letter …

**Ratio:** The ratio is based on the principle that an interim order of a court or tribunal must be

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**Reasoning:** The court reasoned that the show-cause notices and the letter from the DoT appeared to be

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**Interpretation:** The interpretation of the interim order is crucial. The court needs to

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**Application:** The ratio and reasoning are applied to the specific facts of the case. The

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## Parties

- **Judges:** S.J. Mukhop…; Bansi Lal…
- **Appellants:** Punit…
- **Respondents:** Reliance Communica…; Ericsson India…

## Timeline

- **2018-05-30 — Interim…**: An interim order was passed initially in the appeal against the initiation of the…
- **2019-02-04 — Appellate Tribu…**: The Appellate Tribunal passed an order listing the case for urgent mentioning, allowing…

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