Dues of Attached Vehicles belonging to Corporate Debtor can only be Recovered under IBC, not from Auction Purchasers: Gujarat HC [Read Judgment]
The Gujarat High Court held that the dues of Attached vehicles belonging to Corporate Debtor can only be recovered under the Insolvency and Bankruptcy Code and cannot be recovered from auction-purchasers.
The petitioners, East India Enterprise Thro had prayed to vacate the Provisional Attachment Order passed by the Deputy Director, Mumbai Zonal Office-II, Directorate of Enforcement, under sub-Section (1) of Section 5 of the Prevention of Money Laundering Act, 2002 whereby, the movable properties, i.e. commercial vehicles of M/s. Siddhi Vinayak Logistic Limited (Corporate Debtor), have been provisionally attached under the provisions of the PMLA for a period of 180 days from the date of the order with the further condition that the said properties shall not be removed, parted with or otherwise, dealt with, without the prior permission from the said authority.
