SC: Preference Shareholders Classified as Investors, Cannot Approach Court as Financial Creditors - (29 Oct 2025)
INSOLVENCY
Supreme Court held that holders of Cumulative Redeemable Preference Shares (CRPS) are investors, not financial creditors, and cannot initiate insolvency proceedings under Section 7 of the IBC, as non-redemption of such shares does not amount to a “default” under the law.
Tags : CUMULATIVE REDEEMABLE PREFERENCE SHARES INVESTORS FINANCIAL CREDITORS
Share :

|