In CIRP process NCLT order dated 04.04.2025 kept in abeyance till next date of hearing as ordered by Hon''ble NCLAT
Awaiting price reaction for this filing.
Marg Ltd informed BSE that the National Company Law Appellate Tribunal (NCLAT) has ordered that the NCLT order dated 04.04.2025 — which had admitted insolvency proceedings (CIRP) against the company under Section 9 of the Insolvency and Bankruptcy Code — will be kept in abeyance till the next hearing. The appeal was filed by the company's Chairman & Managing Director, Mr. GRK Reddy, challenging the insolvency admission order that was based on a 2022 arbitration award. The NCLAT noted that the question of whether the arbitral award can be the basis for initiating insolvency proceedings years after the liability accrued needs scrutiny. The next date of hearing is fixed for 01.07.2025.
This is a positive temporary reprieve for Marg Ltd shareholders as the insolvency admission has been suspended, buying the company time. However, the underlying insolvency case and the arbitration dispute are still under legal examination, so uncertainty remains until the next hearing in July 2025.