Case Note & Summary
The appeal was brought before the National Company Law Appellate Tribunal by the suspended director of Lanarsy Infra Limited, challenging an order that admitted the corporate debtor to the Corporate Insolvency Resolution Process (CIRP) under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC). The appellant's counsel argued that a proposal under Section 12A had been approved by the Committee of Creditors (CoC) and the Adjudicating Authority. Upon consideration, the Tribunal determined that the appeal had become infructuous due to the approval of the Section 12A proposal, leading to the dismissal of the appeal without costs. The Tribunal concluded that no further action was warranted in this matter.
Headnote
A) Insolvency Law - Corporate Insolvency Resolution Process - Admission of Corporate Debtor - Insolvency and Bankruptcy Code, 2016, Section 9 - The appeal was filed by the suspended director against the order admitting the corporate debtor to CIRP. The court found that the proposal under Section 12A had been approved, rendering the appeal infructuous and dismissed it without costs. Held that no further proceedings were necessary (Paras 1-3).
Issue of Consideration
Whether the appeal challenging the admission of the corporate debtor to Corporate Insolvency Resolution Process (CIRP) under Section 9 of the Insolvency and Bankruptcy Code, 2016 (IBC) should be allowed.
Final Decision
The appeal was dismissed as having become infructuous, with no costs awarded.
Law Points
- Corporate Insolvency Resolution Process
- Section 9
- Infructuous Appeal
Case Details
2026 LawText (NCLAT) (08) 138
Comp App (AT) (CH) (Ins) No. 278/2026
Justice N Seshasayee, Jatindranath Swain
Mr. Amrith Bhargav, Mr. Jerin Asher Sojan
Agrawal Infracab Private Limited, Lanarsy Infra Limited, Mr. Kunal Bharat Ram
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Nature of Litigation
Appeal against the admission of a corporate debtor to CIRP.
Remedy Sought
The appellant sought to challenge the order admitting the corporate debtor to CIRP.
Filing Reason
The appeal was filed to contest the admission order under Section 9 of the IBC.
Previous Decisions
The Section 12A proposal had been approved by the CoC and the Adjudicating Authority.
Issues
Validity of the admission of the corporate debtor to CIRP
Status of the appeal after approval of Section 12A proposal
Submissions/Arguments
The appellant's counsel argued that the Section 12A proposal was approved, making the appeal infructuous.
Ratio Decidendi
The appeal was dismissed due to the approval of the Section 12A proposal, indicating that the grounds for the appeal no longer existed.
Judgment Excerpts
This appeal is preferred by the suspended director of the corporate debtor challenging an order admitting the corporate debtor to CIRP under Section 9 of the IBC.
Nothing survives in this appeal. The appeal is dismissed as having become infructuous.
Procedural History
The appeal was filed challenging the admission order of the corporate debtor to CIRP, and the Tribunal considered the approval of the Section 12A proposal before dismissing the appeal.
Acts & Sections
- Insolvency and Bankruptcy Code, 2016: Section 9, Section 12A
