This week in Indian law: NCLT Mumbai approved the Reliance Naval resolution plan, MCA tightened beneficial ownership disclosure requirements and designated special courts under IBC, and the RBI issued comprehensive project finance directions. A busy week for corporate and regulatory developments during the Supreme Court's continuing summer vacation. 6 significant legal developments this week across insolvency and regulatory updates.
Top story
NCLT Mumbai Approves Reliance Naval Resolution Under IBC
Category: corporate-insolvency | Date: 16 June 2025 | Source: NCLT Mumbai
NCLT Mumbai approved the resolution plan for Reliance Naval and Engineering Ltd. (formerly Reliance Defence and Engineering), concluding one of the most prominent insolvency cases in India's defence manufacturing sector. The resolution plan provides for the takeover of the Pipavav shipyard and defence manufacturing facilities by the successful resolution applicant. The case had been in the CIRP process for an extended period, with multiple rounds of bidding and judicial hearings.
Why it matters: The resolution of Reliance Naval is significant both for the IBC ecosystem (demonstrating that complex defence sector assets can be resolved) and for India's defence manufacturing policy. The Pipavav shipyard is a strategic national asset, and its resolution under IBC ensures continuity of defence manufacturing capabilities.
Read more: Veritect analysis
Regulatory updates
MCA Tightens Beneficial Ownership Disclosure Requirements
Date: 18 June 2025 | Source: MCA
The Ministry of Corporate Affairs issued a notification tightening the disclosure requirements for significant beneficial owners under Section 90 of the Companies Act, 2013. The enhanced norms require more granular reporting of beneficial ownership chains, including indirect holdings through trusts, partnerships, and multi-layered corporate structures. Companies must update their Beneficial Ownership registers and file revised declarations within the prescribed timeline.
Key point: Companies with complex ownership structures must review their beneficial ownership disclosures against the enhanced requirements — non-compliance attracts significant penalties.
RBI Issues Comprehensive Project Finance Directions for 2025
Regulator: RBI | Date: 19 June 2025
The RBI issued comprehensive directions for project finance lending, establishing enhanced risk assessment requirements, provisioning norms, and monitoring standards for infrastructure and project lending. The directions require banks to conduct independent technical and financial assessments, maintain higher provisioning for under-construction projects, and report project progress milestones to the RBI.
Key point: Banks with infrastructure lending portfolios must recalibrate their risk assessment models and provisioning levels — the new directions materially increase the capital requirements for project finance.
MCA Designates Special Courts Under IBC Framework
Date: 18 June 2025 | Source: MCA
The MCA issued a notification designating special courts in multiple jurisdictions for the adjudication of offences under the Insolvency and Bankruptcy Code. The designation aims to reduce the backlog of IBC-related criminal and quasi-criminal matters by creating dedicated judicial capacity.
Read more: Veritect analysis
Also this week
- SC vacation continues — The Supreme Court's summer vacation continues. The Court is expected to resume regular operations in early July.
- Quarter-end regulatory activity — With the end of Q1 FY26 approaching, regulators are issuing final circulars and compliance reminders.
By the numbers
- 4 — Major regulatory notifications from MCA and RBI this week
- 2 — Corporate insolvency developments: Reliance Naval resolution and MCA special courts
- 90 — Companies Act section governing beneficial ownership, now with enhanced disclosure requirements
Looking ahead
- June 23-29: SEBI RPT disclosure, investment adviser master circular, and IBBI quarterly data expected
- June 30: Quarter-end; SEBI stock broker regulation overhaul expected
- July: SC summer vacation ends; regular court operations resume
This is the Veritect Weekly Legal Roundup for Week 25 of 2025. For daily updates, visit our legal news page. Subscribe to receive this roundup every Monday morning.
Veritect provides this content for informational purposes and does not constitute legal advice.