National Company Law Tribunal  (File photo)
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NCLAT rejects tax claim against Reliance Communications

The NCLT had admitted the first claim, which was passed before the initiation of CIRP. However, it did not accept the claim which was based on an assessment order passed in 2021.

ENS Economic Bureau

NEW DELHI: The NCLAT has set aside a petition filed by the tax department claiming dues from Reliance Communications (RCom). The tribunal observed that the claim was based on the assessment made after the initiation of insolvency resolution process against the debt-ridden firm.

An NCLAT bench upheld the earlier order passed by the Mumbai bench of the National Company Law Tribunal (NCLT), which had rejected the state tax department’s second claim of Rs 6.10 crore. Corporate Insolvency Resolution Process (CIRP) against RCom was initiated on June 22, 2019. The state tax department had filed two claims. The first claim was filed on July 24, 2019, for Rs 94.97 lakh and a second was filed on November 15, 2021 for Rs 6.10 crore, which arose out of an assessment order dated August 30, 2021.

The NCLT had admitted the first claim, which was passed before the initiation of CIRP. However, it did not accept the claim which was based on an assessment order passed in 2021. The Committee of Creditors (CoC) of RCom also approved the plan on March 2, 2020, and the subsequent claim was filed by the state tax department on November 15, 2021.

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