# In the matter of DKY Finance Pvt. Ltd. & Ors. vs. Sanjay Garg & Ors.

> NCLAT judgment dated 2025-02-28. Citation: TCN-2025-NCLAT-00192. The case involves three appeals filed against the same order dated 14.05.2024 by the…

- **Court:** NCLAT
- **Order date:** 28 Feb 2025
- **Citation:** TCN-2025-NCLAT-00192
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/dky-finance-pvt-ltd-ors-vs-sanjay-garg-ors-58623013

## Summary

### Background

The case involves three appeals filed against the same order dated 14.05.2024 by the Adjudicating Authority (National Company Law Tribunal, Chandigarh Bench, Court II) approving the resolution plan submitted by M/s. Max Heights Infrastructure Limited, the Successful Resolution Applicant (SRA). The appellants, unsecured financial creditors of the corporate debtor, are aggrieved by the approval of the resolution plan. The CIRP was initiated against Suman Vilas Private Ltd. on 08.04.2022, following a Section 7 application filed by allottees of a housing project. Claims were filed by DKY Finance Private Limited and others. The Resolution Professional (RP) published a list of unsecured financial creditors on 25.06.2022, including the appellants. The Committee of Creditors

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## Facts

The appeals were filed against the approval of a resolution plan for Suman Vilas Private Ltd. The CIRP was initiated on 08.04.2022, following a Section 7 application by allottees. DKY Finance Private Limited and others filed claims as financial creditors. The RP published a list of unsecured financial creditors on 25.06.2022. The CoC approved the resolution plan with 85.56% voting share. The Adjudicating Authority approved the plan on 14.05.2024. The appellants, unsecured financial creditors, challenged the approval, arguing that the plan was approved after the CIRP period expired and that the allocation of amounts to them was insufficient. They also contended that the liquidation value of the corporate debtor was higher than the value proposed in the resolution plan.

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## Issues and analysis

### Issue 1: Whether the resolution plan approved by the Adjudicating Authority complies with Section 30(2)(b) …

**Ratio:** Section 30(2)(b) of the IBC mandates that the resolution plan provides for the payment of

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**Reasoning:** The tribunal considered the submissions of the appellants, RP, and SRA and perused the

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**Interpretation:** Section 30(2)(b) ensures that dissenting creditors receive at least the

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**Application:** In this case, the tribunal found that the resolution plan complied with Section

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## Parties

- **Judges:** Ashok Bh…; Barun M…
- **Appellants:** DKY Finance Pvt.…
- **Respondents:** Suman Vilas…; Sanjay…

## Timeline

- **2022-04-08 — CIRP Commen…**: Corporate Insolvency Resolution Process (CIRP) against the corporate debtor commenced…
- **2022-04-10 — IRP Publi…**: In pursuance of publication made by Interim Resolution Professional (IRP) on 10.04.2022,…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 7 — Initiation of corporate insolvency resolution…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-7)

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