# In the matter of BHAGIRATH CONSTRUCTION COMPANY PRIVATE LIMITED

> NCLT judgment dated 2025-08-06. Citation: TCN-2025-NCLT-01187. The case pertains to an application filed by CFM Asset Reconstruction Private Limited, a…

- **Court:** NCLT
- **Order date:** 6 Aug 2025
- **Citation:** TCN-2025-NCLT-01187
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-ahmedabad/bhagirath-construction-company-private-limited-321af580

## Summary

### Background

The case pertains to an application filed by CFM Asset Reconstruction Private Limited, a financial creditor, under Section 7 of the Insolvency and Bankruptcy Code (IBC), 2016, to initiate the Corporate Insolvency Resolution Process (CIRP) against Bhagirath Construction Company Private Limited, the corporate debtor.

## Facts

CFM Asset Reconstruction Private Limited filed an application under Section 7 of the IBC to initiate CIRP against Bhagirath Construction Company Private Limited.

The corporate debtor had availed credit facilities from Mehsana Urban Co-operative Bank Ltd.

The accounts of the corporate debtor were classified as Non-Performing Assets (NPA) on 31.12.2004 and 20.04.2005.

Decrees were passed in favor of the bank in Summary Lavad Suit Nos. 278/2014 and 279/2014 by the Court of Board of Nominees, Mehsana on 05.02.2020.

The debt was assigned to CFM Asset Reconstruction Private Limited through an Assignment Agreement dated 26.03.2021.

The total amount in default claimed is Rs.28,48,40,687/- inclusive of interest as of 30.07.2023.

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## Issues and analysis

### Issue 1: Whether the application under Section 7 of …

**Ratio:** The application is complete in

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**Reasoning:** The applicant is entitled to claim its dues, establishing the default in payment of the

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**Interpretation:** The Adjudicating Authority interpreted Section 7(5) to mean that if the

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**Application:** The Adjudicating Authority applied this interpretation to the facts of the case

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## Parties

- **Judges:** Chitra Ha…; Velamur G Venkata…
- **Appellants:** CFM Asset…
- **Respondents:** Bhagirath…
- **Other parties:** Dhaval C.…; Dena Bank Vs. C…; +2 more
- **Advocates:** Arjun S…

## Timeline

- **2004-12-31 — NPA Decla…**: Accounts of the…
- **2005-04-20 — NPA Decla…**: Accounts of the…

## 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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