NCLAT Dismisses Insolvency Appeal Against Voltas in Favor of Tata Group Firm

The National Company Law Appellate Tribunal (NCLAT) has dismissed an appeal initiated by Air Wave Technocrafts against Voltas, a Tata Group company, for insolvency proceedings. The tribunal upheld the National Company Law Tribunal's previous decision, citing existing disputes between the companies as a reason for the dismissal.

The National Company Law Appellate Tribunal (NCLAT) has upheld a decision favoring Voltas, a Tata Group entity, dismissing an insolvency appeal by Air Wave Technocrafts. This decision aligns with earlier rulings from the National Company Law Tribunal (NCLT), which had rejected the Section 9 application due to pre-existing disputes.

In its decision, NCLAT confirmed there were ongoing disputes between Air Wave Technocrafts and Voltas, evidenced by email correspondences over work certification, amounts, and additional documentation. Both tribunals found the grounds of pre-existing disputes valid for rejecting the insolvency proceedings.

Air Wave Technocrafts had accused Voltas of failing to meet payment obligations for services related to HVAC systems. Despite sending a demand notice, Voltas disputed the liability. The appeal to NCLAT followed an NCLT dismissal in May 2025.

(With inputs from agencies.)