# In the matter of Anil Kumar vs. Mukund Choudhary

> NCLAT judgment dated 2025-01-22. Citation: TCN-2025-NCLAT-00254. The appeal arises from an order dated 04.12.2024 passed by the Adjudicating Authority…

- **Court:** NCLAT
- **Order date:** 22 Jan 2025
- **Citation:** TCN-2025-NCLAT-00254
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/anil-kumar-vs-mukund-choudhary-76ecc7f2

## Summary

### Background

The appeal arises from an order dated 04.12.2024 passed by the Adjudicating Authority (National Company Law Tribunal, New Delhi), which dealt with an application (I.A. No. 5719/2024) filed by the Resolution Professional (RP) in a Personal Insolvency Resolution Process (PIRP). The RP sought an extension of the PIRP by 90 days beyond the initial 180-day period. The Adjudicating Authority granted the extension of time for completing the process but did not express any views on the moratorium. The appellant, Anil Kumar, is the Resolution Professional, and the respondent, Mukund Choudhary, is the Personal Guarantor. The initial application under Section 94(1) of the Insolvency and Bankruptcy Code, 2016 (IBC), was filed by the Personal Guarantor, leading to the declaration

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## Facts

1. An application under Section 94(1) of the IBC was filed by Mukund Choudhary, the Personal Guarantor (Respondent), leading to the initiation of the Personal Insolvency Resolution Process (PIRP).
2. The Adjudicating Authority declared an Interim Moratorium on 08.04.2021 and appointed Anil Kumar (Appellant) as the Resolution Professional (RP).
3. The RP filed a report under Section 99 of the IBC, which was considered by the Adjudicating Authority.
4. On 30.04.2024, the Section 94 application was admitted, initiating the PIRP with a fresh moratorium under Section 101.
5. The first meeting of creditors was rescheduled to 23.10.2024.
6. The RP was authorized to file an application for extending the PIRP by 90 days beyond 180 days on 28.10.2024.
7. The RP filed I.A. 5719/2024

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## Issues and analysis

### Issue 1: Whether the Adjudicating Authority has the power to extend the period of moratorium beyond the …

**Ratio:** Section 101(1) of the IBC provides a clear outer limit for the moratorium, specifying

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**Reasoning:** The court reasoned that the language of Section 101(1) is plain and clear, prescribing a

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**Interpretation:** The court interpreted Section 101(1) strictly, emphasizing that the provision

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**Application:** In this specific case, the court found that the 180-day moratorium had already

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## Parties

- **Judges:** Ashok Bh…; Barun M…; +1 more
- **Appellants:** Anil K…
- **Respondents:** MUKUND CHO…

## Timeline

- **2021-04-08 — Interim Moratorium…**: Adjudicating Authority declared Interim Moratorium and appointed Anil Kumar as Resolution…
- **2024-04-30 — Section 94 Application…**: Section 94 Application filed by the Personal Guarantor was admitted, initiating Personal…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 94(1) — Application by debtor to initiate insolvency…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-94)

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