# Raj Radhe Finance Limited vs. Nirav Tarkas IRP of Shreebhav Polyknits Pvt Ltd

> NCLT judgment dated 2026-08-06. Citation: TCN-2026-NCLT-00896. Raj Radhe Finance Limited (Applicant) filed an application before the NCLT, Ahmedabad, seeking…

- **Court:** NCLT
- **Order date:** 6 Aug 2026
- **Citation:** TCN-2026-NCLT-00896
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-ahmedabad/raj-radhe-finance-limited-vs-nirav-tarkas-irp-of-shreebhav-polyknits-pvt-ltd-vtnhf

## Summary

### Background

Raj Radhe Finance Limited (Applicant) filed an application before the NCLT, Ahmedabad, seeking a refund of Rs. 8,56,680/- from Nirav Tarkas, the Interim Resolution Professional (IRP) of Shreebhav Polyknits Pvt Ltd (Corporate Debtor). The original Corporate Insolvency Resolution Process (CIRP) against the Corporate Debtor was initiated by State Bank of India and admitted on 27.09.2021. The Tribunal had initially directed the Financial Creditor to pay an advance of Rs. 5,00,000/- to the IRP. The Committee of Creditors (CoC) subsequently replaced Nirav Tarkas with Mr. Vikash Jain as the Resolution Professional and, in multiple meetings, explicitly refused to ratify Nirav Tarkas's fees of Rs. 8,56,680/-, which he had allegedly taken unilaterally.

## Facts

Raj Radhe Finance Limited is the Applicant in I.A. No. 91/AHM/2023.

Nirav Tarkas, IRP of Shreebhav Polyknits Pvt Ltd, is the Respondent.

The application seeks a refund of Rs. 8,56,680/- from the Respondent.

The proceedings are under Section 60(5) of the IBC read with Rule 11 of the NCLT Rules, 2016.

The original Company Petition (IB) No. 386 of 2020 was filed by State Bank of India against Shreebhav Polyknits Private Limited (Corporate Debtor).

The Tribunal admitted the petition on 27.09.2021, initiating CIRP against the Corporate Debtor.

The Tribunal directed the Financial Creditor (State Bank of India) to pay the IRP Rs. 5,00,000/- as an advance for fees and expenses.

The 1st CoC meeting was held on 01.12.2021, where the CoC resolved to replace the Respondent IRP.

…

## Issues and analysis

### Issue 1: Whether the Respondent IRP unilaterally took fees amounting to Rs. 8,56,680/- without the approval …

**Ratio:** The CoC explicitly refused to ratify the Respondent's fees of Rs. 8,56,680/- in multiple

…

**Reasoning:** The 3rd CoC meeting on 27.05.2022 ratified all expenses except the IRP's fees. The 4th

…

**Interpretation:** The CoC's repeated refusal to ratify indicates a lack of approval for the

…

**Application:** The Respondent's action of drawing fees without explicit CoC ratification,

…

## Parties

- **Judges:** Chitra Ha…; Velamur G Venkata…
- **Appellants:** Raj Radhe Finance…
- **Respondents:** Shreebhav…; Nirav Tarkas IRP…
- **Other parties:** CoC of Shreebhav…; State Bank of…; +2 more
- **Advocates:** Monaal Da…; Yuvraj Th…

## Timeline

- **2020-08-22 — Expression of Interest…**: State Bank of India invited expression of interest for selection of Insolvency…
- **2020-09-29 — IRP Cons…**: The Respondent gave consent to act as IRP on request made by the Financial Creditor State…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 60(5) — Adjudicating Authority for corporate persons](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-60)

---

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/nclt-ahmedabad/raj-radhe-finance-limited-vs-nirav-tarkas-irp-of-shreebhav-polyknits-pvt-ltd-vtnhf