Liquidation Proceedings

Overview

Liquidation marks the terminal stage of a corporate entity's lifecycle, carrying profound legal and commercial consequences for creditors, shareholders, employees, and counterparties alike. Whether arising from a failed Corporate Insolvency Resolution Process under the IBC 2016 or initiated voluntarily by shareholders under the Companies Act 2013, liquidation proceedings demand rigorous legal stewardship from the outset. Under the IBC framework, liquidation commences by order of the National Company Law Tribunal following either the failure of CIRP to yield an approved resolution plan within the statutory period or the resolution professional's recommendation based on the Committee of Creditors' determination. The liquidator appointed under Regulation 4 of the IBBI (Liquidation Process) Regulations 2016 assumes control of all assets forming the liquidation estate, and the hierarchy of claims under Section 53 of IBC governs distributions with strict priority — workmen's dues and secured creditors ranking ahead of unsecured creditors and preference shareholders. Corpus Juris Legal represents all categories of stakeholders in liquidation proceedings before NCLT Delhi, NCLAT, and the Supreme Court. We advise liquidators on asset identification, valuation, and sale methodology under the IBBI Liquidation Process Regulations, including the mechanics of selling assets as a going concern where viable. We assist secured creditors in determining whether to enforce security outside the liquidation estate under Section 52 or to relinquish security to the estate for a priority claim. For operational creditors and employees, we pursue claim admission and priority distributions with the rigour these proceedings demand. For voluntary winding up under the Companies Act 2013, we manage board and shareholder resolutions, solvency declarations under Section 304, appointment of company liquidators, creditor meetings, and final dissolution filings with the Registrar of Companies, NCT of Delhi and Haryana. Our practitioners have handled liquidations across manufacturing, real estate, financial services, and technology sectors in the Delhi NCR region, with full familiarity with the procedural expectations of NCLT's Delhi benches.

Key Service Components

• ◆IBC 2016 liquidation commencement — NCLT order strategy and liquidator appointment advisory
• ◆IBBI (Liquidation Process) Regulations 2016 compliance — asset identification and estate management
• ◆Section 53 waterfall analysis — creditor priority mapping and distribution planning
• ◆Secured creditor elections — Section 52 enforcement vs. relinquishment to liquidation estate
• ◆Going concern sale advisory — business continuity during liquidation asset sale
• ◆Claim filing and verification before liquidator — all creditor categories
• ◆Voluntary winding up under Companies Act 2013 — solvency declaration, resolutions, ROC filings
• ◆Representation before NCLT Delhi, NCLAT, and Supreme Court in liquidation disputes
• ◆Employee and workmen dues — priority claim structuring and enforcement
• ◆Final dissolution and strike-off coordination with Registrar of Companies

Our Approach

Corpus Juris Legal brings a transaction-oriented mindset to liquidation work — our objective is maximising stakeholder recoveries within the statutory framework, not merely managing process. We deploy dedicated IBC practitioners who appear regularly before NCLT Delhi and NCLAT, bringing first-hand knowledge of judicial temperament and procedural preferences. Every engagement is partner-led, with no junior attorneys independently managing complex creditor-distribution or asset-sale questions.

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