The National Company Law Appellate Tribunal, (New Delhi bench)
("NCLAT") has passed an order in the
matter of Mrs. Mamatha Vs AMB Infrabuild Pvt. Ltd.
& Ors. in Company Appeal (AT) (Insolvency)
No. 155 of 2018 dated 30th November, 2018 ruling that when
insolvency proceedings are brought against an unincorporated joint
venture between two companies, both the companies are effectively
held to be corporate debtors.
Facts of the Case
The appellant, Mrs. Mamatha
("Appellant"), being an allottee of the
development of a commercial complex to be undertaken by the Joint
Venture of AMB Infrabuild Pvt. Ltd.
("AMB") and Earth Galleria Pvt. Ltd
("Earth Galleria") (together called
"Corporate Debtors"),
filed an application under Section 7 of the Insolvency and
Bankruptcy Code, 2016 ("the
Code") jointly for initiation of Corporate
Insolvency Resolution Process against the Corporate Debtors. The
National Company Law Tribunal, (New Delhi Bench)
("NCLT"), rejected the
