NCLT admitted a Section 7 petition filed by Small Industries Development Bank of India for default on loan facilities by Viola Resorts Private Limited, ordering CIRP initiation and moratorium.
Admitted the petition for initiation of CIRP; imposed Section 14 moratorium; appointed IRP; directed management vesting with IRP.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
IN THE NATIONAL COMPANY LAW TRIBUNAL MUMBAI BENCH-IV
CP (IB) No.61/MB-IV/2023
Under Section 7 of the IBC, 2016 In the matter of SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA [AABCS3480N]
…Financial Creditor
v/s. M/S. VIOLA RESORTS PRIVATE LIMITED [CIN: U74900MH2010PTC201806]
…Corporate Debtor
Order Delivered on: 06.06.2023
Coram: Mr. Prabhat Kumar Mr. Kishore Vemulapalli Hon’ble Member (Technical) Hon’ble Member (Judicial) Appearances (via videoconferencing): For the Financial Creditor: Mr. Prasad Sarvankar, Ld. Counsel. For the Corporate Debtor: Mr. Saurabh Gandhi, Ld. Counsel.
IN THE NATIONAL COMPANY LAW TRIBUNAL MUMBAI BENCH-IV
CP (IB) No.61/MB-IV/2023
ORDER
Per: Prabhat Kumar, Member (Technical)
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IN THE NATIONAL COMPANY LAW TRIBUNAL MUMBAI BENCH-IV
CP (IB) No.61/MB-IV/2023
_________________________________________________________________________________________ 30th April,2015 came to be modified. The significant modification was carried out by modification letter dated 12th January, 2016 wherein the quantum of loan of Rs. 12,30,00,000/- (Rupees Twelve Crore Thirty Lakhs only) was modified to Rs. 10,75,00,000/- (Rupees Ten Crore Seventy-Five Lakhs) and Further modifications were carried out wherein the rate of interest, the guarantees of the promoters were incorporated.
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IN THE NATIONAL COMPANY LAW TRIBUNAL MUMBAI BENCH-IV
CP (IB) No.61/MB-IV/2023
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IN THE NATIONAL COMPANY LAW TRIBUNAL MUMBAI BENCH-IV
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_________________________________________________________________________________________ by the promoters was increased for which the corporate debtor has to raise finances from other sources, resulting in huge financial burden.
Findings:
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IN THE NATIONAL COMPANY LAW TRIBUNAL MUMBAI BENCH-IV
CP (IB) No.61/MB-IV/2023
_________________________________________________________________________________________ 4 credit facilities and continued occurrence of the said defaults indicate that the Corporate Debtor requires resolution.
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IN THE NATIONAL COMPANY LAW TRIBUNAL MUMBAI BENCH-IV
CP (IB) No.61/MB-IV/2023
ORDER
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IN THE NATIONAL COMPANY LAW TRIBUNAL MUMBAI BENCH-IV
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IN THE NATIONAL COMPANY LAW TRIBUNAL MUMBAI BENCH-IV
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_________________________________________________________________________________________ documents in their possession and furnish every information in their knowledge to the IRP within a period of one week from the date of receipt of this Order, in default of which coercive steps will follow.
Sd/- Sd/PRABHAT KUMAR KISHORE VEMULAPALLI MEMBER (TECHNICAL) MEMBER (JUDICIAL) 06.06.2023.
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2 issues framed by the court
Whether a corporate insolvency resolution process should be initiated against the corporate debtor given the existence of financial debt in default.
Whether the denial of RBI restructuring framework availability is a relevant ground to deny admission under Section 7 of the IBC.
6 provisions across 1 enactments
SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA
Prabhat Kumar
Kishore Vemulapalli
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
