The Directorate of Enforcement (ED) filed an application under Section 60(5) of the Insolvency and Bankruptcy Code (IBC) seeking a stay on the Corporate Insolvency Resolution Process (CIRP) initiated against Alchemist Limited. The ED alleged that the CIRP was initiated to legitimize proceeds of crime and frustrate ongoing criminal proceedings under the Prevention of Money Laundering Act (PMLA).
The Directorate of Enforcement (ED) filed an application seeking a stay on the CIRP initiated against Alchemist Limited.
The ED alleged that Alchemist Group entities collected funds from the public through fraudulent investment schemes and siphoned them into Alchemist Limited.
The Committee of Creditors (CoC) was dominated by Alchemist Group entities.
The Resolution Professional (RP) had a prior association with the Alchemist Group.
The ED had attached properties of Alchemist Limited under the PMLA.
The NCLT found that the CIRP was not initiated for the genuine purpose of insolvency resolution.
The NCLT recalled the CIRP initiated against Alchemist Limited and imposed a penalty on the Operational Creditor.
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The order was d…
Directorate of…
The Directorate of Enforcement (ED) filed an application under Section 60(5) of the Insolvency and Bankruptcy Code (IBC) seeking a stay on the Corporate Insolvency Resolution Process (CIRP) initiated against Alchemist Limited. The ED alleged that the CIRP was initiated to legitimize proceeds of crime and frustrate ongoing criminal proceedings under the Prevention of Money Laundering Act (PMLA).
The Directorate of Enforcement (ED) filed an application seeking a stay on the CIRP initiated against Alchemist Limited.
The ED alleged that Alchemist Group entities collected funds from the public through fraudulent investment schemes and siphoned them into Alchemist Limited.
The Committee of Creditors (CoC) was dominated by Alchemist Group entities.
The Resolution Professional (RP) had a prior association with the Alchemist Group.
The ED had attached properties of Alchemist Limited under the PMLA.
The NCLT found that the CIRP was not initiated for the genuine purpose of insolvency resolution.
The NCLT recalled the CIRP initiated against Alchemist Limited and imposed a penalty on the Operational Creditor.
The order was d…
Directorate of…