NCLAT stays NCLT order in Dream 11 case, directs IRP not to take any step till Feb 23
National Company Law Appellate Tribunal on Wednesday stayed the NCLT Mumbai bench order to initiate a corporate Insolvency Resolution Process (CIRP) against Sporta Technologies, which operates the fantasy sports platform Dream 11. However, it has also directed the Interim Resolution Professional (IRP), appointed by the National Company Law Tribunal (NCLT) after suspending the board of Dream 11, not to take any further steps till the next date of hearing, scheduled for February 23.
A three-member bench of the appellate tribunal also issued notice to the IRP of Sporta Technologies and Resolution Professional of Reward Business Solution, directing them to file a reply within a week.
«List this Appeal on 23.02.2024,» the National Company Law Appellate Tribunal (NCLAT) order said, adding that «In the meantime, the order impugned shall remain stayed. No steps, till the next date shall be taken by the IRP in the CIRP».
NCLAT directions came over an urgent petition moved by Dream11 co-founder and COO Bhavit Sheth.
During the proceedings, senior advocate Arun Kathpalia, representing Sporta Technologies, requested a stay of the order passed by the NCLT on February 9.
He further submitted that IPL is approaching near and it will impact its preparation for the coming season.
Dream 11 is the title sponsor of the IPL T20 cricket league also.
Kathpalia also offered to deposit the money and said this was stopped on account of some disputes, as there was no clarity as to whom the payment was to be made.
The NCLT had directed
