What’s new

• The Supreme Court dismissed Raspalfa Services' appeal against the NCLAT's interim stay on insolvency.
• The NCLAT dismissed the creditor's application to vacate the stay after the Supreme Court ruling.
• Prime Focus has already deposited the disputed ₹353.79 cr into an interest-bearing account.

Why it matters

The Supreme Court's refusal to interfere maintains the stay on the corporate insolvency resolution process. This removes the immediate threat of bankruptcy and provides the company breathing room until the next NCLAT hearing.

What we’re watching

• The NCLAT hearing scheduled for July 9.
• Any further legal maneuvers from Raspalfa Services.
• The status of the ₹353.79 cr deposit held by the registrar.

The full read

Prime Focus secured a legal victory as the Supreme Court dismissed a challenge to the NCLAT's interim stay on its insolvency proceedings. By refusing to interfere, the apex court maintained the status quo. The interim resolution professional cannot advance the corporate insolvency resolution process.

The company protected its position by depositing the disputed ₹353.79 crore with the NCLAT registrar. With the NCLAT also dismissing the creditor's application to vacate the stay, the immediate risk of bankruptcy is off the table. The focus now shifts to the main appeal hearing scheduled for July 9.

This battle is far from over. The Supreme Court's decision provides a clear window of stability. The deposit of the full disputed amount signals intent, tempering the immediate concerns that triggered the insolvency filing.

Primary source: BSE · NSE