NCLT Rejects Section 65 Fraud Allegations

The National Company Law Tribunal (NCLT), Chandigarh Bench, by its orders dated 22 May 2026, rejected an application under Section 65 of the Insolvency and Bankruptcy Code, 2016 alleging fraudulent initiation of Corporate Insolvency Resolution Process (CIRP) against A.P.J. Laboratories Ltd. 

Having found that the financial debt and default stood established through documentary records and that the allegations of fraud remained unsubstantiated, the Tribunal dismissed the Section 65 application and admitted the Section 7 insolvency petition, commencing CIRP against the Corporate Debtor.