The State Bank of India (SBI) filed an appeal challenging the order dated 21.03.2023 passed by the National Company Law Tribunal (NCLT), Cuttack Bench, which rejected Section 7 application filed by SBI to initiate Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor, Abhijeet Ferrotech Ltd. The NCLT rejected the application, framing a question of whether the proceeding was barred due to a prior order by DRT-II, Kolkata. The NCLT answered in favor of the Corporate Debtor, stating the matter was substantially the same as an appeal pending before DRAT. The appellant argued that proceedings under Section 19 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993, are not a bar to entertaining a Section 7 application under the IBC.

The State Bank of India (SBI) filed an appeal challenging the order dated 21.03.2023 passed by the National Company Law Tribunal (NCLT), Cuttack Bench, which rejected Section 7 application filed by SBI to initiate Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor, Abhijeet Ferrotech Ltd. The NCLT rejected the application, framing a question of whether the proceeding was barred due to a prior order by DRT-II, Kolkata. The NCLT answered in favor of the Corporate Debtor, stating the matter was substantially the same as an appeal pending before DRAT. The appellant argued that proceedings under Section 19 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993, are not a bar to entertaining a Section 7 application under the IBC.