# In the matter of Noida Power Company Limited vs. Gaurav Katiyar

> NCLAT judgment dated 2024-09-23. Citation: TCN-2024-NCLAT-00183. The case involves two appeals filed under Section 61 of the Insolvency and Bankruptcy Code,…

- **Court:** NCLAT
- **Order date:** 23 Sept 2024
- **Citation:** TCN-2024-NCLAT-00183
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/noida-power-company-limited-vs-gaurav-katiyar-08a27c00

## Summary

### Background

The case involves two appeals filed under Section 61 of the Insolvency and Bankruptcy Code, 2016 (IBC) by Noida Power Company Limited (NPCL) against orders passed by the Adjudicating Authority (National Company Law Tribunal, New Delhi Bench-III). These orders relate to I.A. No. 82 of 2022 and I.A. No. 1432 of 2022 in C.P. (IB) No. 1348 (ND)/2019, concerning the corporate insolvency resolution process (CIRP) of Earthcon Infracon Pvt. Ltd. The core issue revolves around the disconnection of electricity supply to the Corporate Debtor due to non-payment of dues during the moratorium period.

## Facts

Noida Power Company Limited (NPCL) is the appellant, and Mr. Gaurav Katiyar, the Resolution Professional (RP) of Earthcon Universal Infracon Pvt. Ltd., is the respondent. Earthcon Infracon Pvt. Ltd. was admitted into Corporate Insolvency Resolution Process (CIRP). NPCL issued a notice for temporary disconnection of electricity to Earthcon due to non-payment of post-CIRP electricity dues on 2020-06-17. The erstwhile IRP of Earthcon filed IA No. 3379/2020, seeking directions to NPCL not to disconnect electricity and provide payment options. NPCL sent another disconnection notice on 2021-12-17 due to continued failure to clear dues. The RP filed IA No. 82 of 2022 on 2021-12-28, seeking a permanent stay of electricity disconnection. The Adjudicating Authority passed an

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## Issues and analysis

### Issue 1: Whether the Appellant was lawfully entitled to demand the payment of current electricity dues …

**Ratio:** Explanation to Section 14(1) and Section 14(2-A) of the IBC clearly stipulate that the

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**Reasoning:** The NCLAT reasoned that the Adjudicating Authority failed to appreciate the amendments

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**Interpretation:** The interpretation of Section 14(1) and 14(2-A) clarifies that the moratorium

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**Application:** In this specific case, the Corporate Debtor's continued enjoyment of

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## Parties

- **Judges:** Ashok Bh…; Barun M…; +1 more
- **Appellants:** Noida Power…
- **Respondents:** Earthcon Universal…; Gaurav Ka…
- **Advocates:** Anil…; Sarthak…; +1 more

## Timeline

- **2019-01-01 — C.P. (IB) No. 1348 (ND)…**: Corporate Insolvency Resolution Process initiated against Earthcon Universal Infracon…
- **2020-06-17 — First Disconnection…**: NPCL issued a notice for temporary disconnection of electricity due to non-payment of…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 61 — Appeals and Appellate Authority](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-61)

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