NCLT Orders Liquidation Of Garvit Innovative Promoters Ltd Amidst Non-Cooperation & Absence Of Records

The National Company Law Tribunal (NCLT), Allahabad, comprising Mr. Praveen Gupta (Member-Judicial), has ordered the initiation of liquidation proceedings against M/s Garvit Innovative Promoters Ltd., following an application brought by the Resolution Professional. The present application was filed under section 33(2) read with section 60(5) of the IBC, 2016, by the resolution professional of the corporate debtor, seeking directions for the liquidation of the corporate debtor (M/s Garvit Innovative Promoters Ltd.). The application was filed after the recommendations by the CoC. Background of the Case CIRP of the corporate debtor was initiated in February 2023, and the IRP was appointed. However, the IRP/RP faced many hardships and difficulties in the discharge of his duties. The applicant argued that the ex-management of the corporate debtor didn't cooperate; therefore, the information could not be collated. And it became impossible for the RP to prepare the information memorandum and to invite the expression of interest. The RP also highlighted that the agenda of liquidation of the corporate debtor was put before the 7th CoC meeting, and the sole CoC member having 100% voting rights approved the liquidator of the corporate debtor. Grounds considered by the CoC before recommending liquidation The directors were in jail and refused to cooperate; no records or asset details existed after the office was allegedly destroyed in a fire. Furthermore, the authorities were investigating a massive Rs. 3000 Cr. Ponzi scheme and fraud by the company. Analyzing the facts and circumstances, the tribunal observed that all the best efforts were put in by the IRP/RP to collate the information, but that did not result in any exploration of the assets of the corporate debtor. With the above observations, the tribunal directed the initiation of the CIRP of the corporate debtor and appointed Mr. Nirmal Kumar Bhesoni as liquidator. The moratorium under section 14 of the IBC was declared to be ceased, and the moratorium under section 33 (5) of the IBC, 2016. Case Name: Mr. Dinesh Kumar Gupta, Resolution Professional in CIRP of M/s Garvit Innovative Promoters Ltd. v. M/s Garvit Innovative Promoters Ltd. Case No.: IA (Liq.) No. 05/2025 in CP (IB) No. 17/ALD/2022 For Resolution Professional: Sh. Govind Bhardwaj with Sh. Ashwarya, Advocates Order Date: 15.10.2025 Click Here To Read/Download The Order

NCLT Orders Liquidation Of Garvit Innovative Promoters Ltd Amidst Non-Cooperation & Absence Of Records

Mohd.Rehan Ali

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NCLT Orders Liquidation Of Garvit Innovative Promoters Ltd Amidst Non-Cooperation & Absence Of Records

Mohd.Rehan Ali

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INR 1099+GST

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