Prime Focus faces legal challenges as Supreme Court dismisses appeal

Arunika Jain — Wed, 27 May 2026 12:00:47 +0000

The Supreme Court of India has dismissed a civil appeal filed by Raspalfa Services Private Limited, challenging an interim order passed by the National Company Law Appellate Tribunal (NCLAT). The appeal, numbered 7946 of 2026, was related to proceedings under the Insolvency and Bankruptcy Code, 2016. The interim order in question had been issued by the NCLAT on May 12, 2026, which stayed an earlier order by the National Company Law Tribunal (NCLT), Mumbai Bench. This order had directed that no further steps be taken by the Interim Resolution Professional in relation to the impugned NCLT order.

The Supreme Court, in its order dated May 25, 2026, which was made available on May 26, 2026, observed that the impugned order was an interim one and that interference at this stage was not necessary. The court noted that the matter was scheduled for hearing before the NCLAT on May 28, 2026, allowing the parties to present their contentions there.

Additionally, an interlocutory application (I.A. No. 3835 of 2026) filed by Raspalfa Services seeking to vacate the NCLAT’s interim order was also dismissed by the NCLAT on May 27, 2026, following the Supreme Court’s decision. The NCLAT has scheduled the main appeal for further hearing on July 9, 2026.

The case revolves around a Section 7 application under the Insolvency and Bankruptcy Code, wherein the financial creditor, Raspalfa Services, had claimed a total amount of ₹353.79 crore, which included a principal amount of ₹200 crore along with interest and default interest. The corporate debtor had contested the application, asserting its solvency and readiness to deposit the claimed amount in an interest-bearing account with the NCLAT.

The Supreme Court’s decision to dismiss the appeal underscores the complexity and ongoing nature of the legal proceedings involving Prime Focus. The matter will continue to be deliberated in the NCLAT, with significant financial implications for the parties involved.

Disclaimer: This article is based on a regulatory filing submitted to the National Stock Exchange of India (NSE).

Raspalfa Services | Business Upturn

Prime Focus faces legal challenges as Supreme Court dismisses appeal