# In the matter of T.S. Murali vs. Sarvesh Kashyap, Liquidator & Ors. Company Appeal (AT)(Insolvency) No. 275,276,277 & 344 of 2023

> NCLAT judgment dated 2023-04-21. Citation: TCN-2023-NCLAT-00591. The case involves four appeals filed by the Appellant, T.S. Murali, against orders passed by…

- **Court:** NCLAT
- **Order date:** 21 Apr 2023
- **Citation:** TCN-2023-NCLAT-00591
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/ts-murali-vs-sarvesh-kashyap-liquidator-ors-company-appeal-6e6725e5

## Summary

### Background

The case involves four appeals filed by the Appellant, T.S. Murali, against orders passed by the Adjudicating Authority (National Company Law Tribunal, New Delhi Bench) in relation to the Corporate Insolvency Resolution Process (CIRP) and subsequent liquidation of Helpline Hospitality Pvt. Ltd. The appeals challenge orders related to the e-auction of a property, the Appellant's locus standi to settle dues of statutory creditors, and the vacation of interim stays on the e-auction. The Appellant, an ex-director and promoter of the Corporate Debtor, is contesting the liquidation process, claiming he is willing to settle the dues of all statutory creditors. The liquidator, however, alleges diversion of funds by the Appellant from the Corporate Debtor and insists on the

…

## Facts

T.S. Murali, the Appellant, is the ex-Director and promoter of Helpline Hospitality Pvt. Ltd., the Corporate Debtor. The Corporate Debtor was admitted into CIRP on 2017-04-24 following a Section 9 application by R.M. House Keeping Ltd. The Resolution Professional rejected the claims of the Operational Creditor. The Adjudicating Authority allowed initiation of liquidation proceedings on 2017-10-11. An interim Forensic Audit Report was brought on record on 2018-11-10, followed by a Final Forensic Audit report on 2019-01-02. The Corporate Debtor had taken a loan of Rs.36,59,250/- from ICICI on 2004-04-30 for 104 months, ending on 2013-07-22, to acquire a property at Plot No. C-158, Sector 41, Noida. The property was bought through a joint loan taken by the Appellant and

…

## Issues and analysis

### Issue 1: Whether the Adjudicating Authority erred in rejecting the Appellant's request to record the …

**Ratio:** The spirit, tenor, and objective of the IBC is that of a beneficial legislation and not

…

**Reasoning:** The court reasoned that the Appellant, being a promoter, ex-Director, and CEO of the

…

**Interpretation:** This interprets the IBC as a beneficial legislation aimed at resolving

…

**Application:** The court applied this principle by holding that the Adjudicating Authority

…

## Parties

- **Judges:** Ashok Bh…; Barun M…
- **Appellants:** T.S. MU…
- **Respondents:** Helpline Hospitali…; SARVESH K…

## Timeline

- **2017-04-24 — CIRP Init…**: Corporate Debtor admitted into CIRP following a Section 9 application by R.M. House…
- **2017-10-11 — Liquidation…**: Adjudicating Authority allowed…

## 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)

---

This is a preview. The full structured summary, issues, precedents and source judgment are available on CaseEase - Legal Intelligence Simplified: https://caseease.in/cases/ibc/nclat-new-delhi/ts-murali-vs-sarvesh-kashyap-liquidator-ors-company-appeal-6e6725e5