Case Note & Summary
The case involved an appeal by Roshan Bisani, a suspended director of Ego Flooring Pvt. Ltd., against Omkara Assets Reconstruction Pvt. Ltd. The appeal arose from a Corporate Insolvency Resolution Process (CIRP) initiated by the National Company Law Tribunal (NCLT) on 13.10.2025. The appellant's counsel informed the tribunal that the parties had reached a settlement, leading to the closure of the CIRP process. The appellant requested the dismissal of the appeal as infructuous, which was not opposed by the respondents' counsel. The tribunal, considering the request and the absence of objections, dismissed the appeal as infructuous, thereby concluding the matter. The decision underscored the importance of settlements in insolvency proceedings and the procedural efficiency of the tribunal.
Headnote
A) Insolvency Law - Appeal Dismissal - Infructuous Appeal - Insolvency and Bankruptcy Code, 2016, Section 7 - The appeal was dismissed as infructuous following a settlement between the parties, which led to the closure of the Corporate Insolvency Resolution Process initiated by the Adjudicating Authority. The court noted that no objections were raised by the respondents regarding the dismissal of the appeal (Paras 2-4).
Issue of Consideration
Whether the appeal should be dismissed as infructuous due to a settlement between the parties.
Final Decision
The appeal was dismissed as infructuous due to the settlement reached between the parties, which resulted in the closure of the CIRP process.
Law Points
- Insolvency proceedings
- settlement
- appeal dismissal
Case Details
2026 LawText (NCLAT) (05) 109
Comp. App. (AT) (Ins) No. 1972 of 2025
Mohammad Faiz Alam Khan, Naresh Salecha
Vaibhav Gaggar, Anuj Tiwari, Shalini Basu, Vaibhavg Vats, Sameer Mishra, Ashish K. Singh, Palak Tyagi, Urvaksh Baria
Omkara Assets Reconstruction Pvt. Ltd.
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Nature of Litigation
Appeal against the order of the National Company Law Tribunal regarding insolvency proceedings.
Remedy Sought
Dismissal of the appeal as infructuous.
Filing Reason
Parties reached a settlement leading to the closure of the CIRP.
Previous Decisions
CIRP initiated by NCLT on 13.10.2025.
Issues
Whether the appeal should be dismissed as infructuous due to a settlement.
Submissions/Arguments
The appellant's counsel argued for dismissal based on settlement.
No objections were raised by the respondents' counsel.
Ratio Decidendi
The appeal was dismissed as infructuous following a settlement, emphasizing the procedural efficiency in insolvency matters.
Judgment Excerpts
The parties have entered into a settlement and on the basis of that settlement application which was moved under 12 A of the Code and the same has also been allowed.
The instant appeal has become infructuous and be disposed of as such.
Procedural History
The appeal was filed against the order of the National Company Law Tribunal, which initiated the CIRP on 13.10.2025. A settlement was reached, leading to the request for dismissal of the appeal.
Acts & Sections
- Insolvency and Bankruptcy Code: Section 7
- Insolvency and Bankruptcy Code: 12 A
