# Vijaybhai Dhanjibhai Detroja vs. Vidres India Ceramics Private Limited & Anr.

> NCLAT judgment dated 2026-09-18. Citation: TCN-2026-NCLAT-00288. An appeal was filed by Vijaybhai Dhanjibhai Detroja, a shareholder and suspended director of…

- **Court:** NCLAT
- **Order date:** 18 Sept 2026
- **Citation:** TCN-2026-NCLAT-00288
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclat-new-delhi/vijaybhai-dhanjibhai-detroja-vs-vidres-india-ceramics-p-gif1m

## Summary

### Background

An appeal was filed by Vijaybhai Dhanjibhai Detroja, a shareholder and suspended director of M/s Sanford Vitrified Pvt. Ltd. (Corporate Debtor), against an NCLT order dated 31.08.2026 that admitted a Section 9 application filed by Vidres India Ceramics Private Limited (Operational Creditor) and initiated CIRP, appointing Chetan Patel as IRP. The Operational Creditor had claimed an operational debt of ₹2,26,40,900/-, of which ₹1,13,36,501/- was paid, leaving a balance of ₹1,13,04,399/-. During the pendency of the appeal, the parties entered into a Settlement Agreement on 12.09.2026 for the remaining amount.

## Facts

Mr. Vijaybhai Dhanjibhai Detroja, a shareholder and suspended Director of M/s Sanford Vitrified Pvt. Ltd. (Corporate Debtor), filed an appeal under Section 61 of the IBC, 2016.

The appeal challenged an order dated 31.08.2026 passed by the NCLT, Ahmedabad Bench, which admitted a Section 9 application and initiated CIRP against the Corporate Debtor.

The Section 9 application was filed by Vidres India Ceramics Private Limited (Respondent No. 1), identified as the Operational Creditor.

Mr. Chetan Patel (Respondent No. 2) was appointed as the Interim Resolution Professional (IRP) for M/s Sanford Vitrified Pvt. Ltd.

Respondent No. 1 had claimed an operational debt of ₹2,26,40,900/- for unpaid bills from 18.09.2024 to 12.03.2025.

…

## Issues and analysis

### Issue 1: Whether, in view of the settlement having been arrived at after admission of the Section 9 …

**Ratio:** The Appellate Tribunal cannot directly set aside an admission order and terminate CIRP

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**Reasoning:** The settlement occurred after the NCLT admitted the Section 9 application and initiated

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**Interpretation:** Section 12A of the IBC, as amended, establishes a mandatory procedure for the

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**Application:** In the present case, despite the consensual settlement between the Operational

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## Parties

- **Judges:** Mohammad Faiz…; Naresh Sa…
- **Appellants:** Vijaybhai…
- **Respondents:** M/s Sanford…; Vidres India…; +1 more
- **Advocates:** Keith Var…; Pranav Th…; +1 more

## Timeline

- **2024-09-18 — Operational Debt Period…**: Start date for unpaid bills…
- **2025-03-12 — Operational Debt Period…**: End date for unpaid bills…

## 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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