# In the matter of Aura Management Services Private Limited CA. No. 426-ND-2019 in (IB)-641(ND)2018

> NCLT judgment dated 2019-11-01. Citation: TCN-2019-NCLT-00756. The case involves an application (CA No. 426/ND/2019) preferred by the Resolution Professional,…

- **Court:** NCLT
- **Order date:** 1 Nov 2019
- **Citation:** TCN-2019-NCLT-00756
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/aura-management-services-private-limited-ca-no-426-nd-2019-in-ib-641nd2018-b85af943

## Summary

### Background

The case involves an application (CA No. 426/ND/2019) preferred by the Resolution Professional, Mr. Mukesh Gupta, in the matter of M/s Aura Management Services Ltd. (the Corporate Debtor). The application seeks withdrawal of the Corporate Insolvency Resolution Process (CIRP) initiated against the Corporate Debtor. The initial Company Petition No. IB-641/(ND)/2018 was filed by the Operational Creditor, M/s Lion Services Limited, under Section 9 of the Code and was admitted on 15.01.2019.

## Facts

M/s. Lion Services Limited, the operational creditor, initiated CIRP against M/s. Aura Management Services Ltd., the corporate debtor, by filing Company Petition No. IB-641/(ND)/2018 under Section 9 of the IBC. The petition was admitted on 15.01.2019. Subsequently, M/s. Lion Services Limited and M/s. Aura Management Services Ltd. reached a settlement. As a result, M/s. Lion Services Limited, being the sole member of the Committee of Creditors (CoC), submitted Form FA to withdraw the CIRP. The CoC approved the withdrawal with 100% voting in a meeting convened by the resolution professional on 12th October 2019. The resolution professional then filed an application (CA No. 426/ND/2019) before the NCLT under Section 12A of the Code, read with regulation 30A of the CIRP

…

## Issues and analysis

### Issue 1: Whether the application for withdrawal of the Corporate Insolvency Resolution Process (CIRP) under …

**Ratio:** Section 12A of the Insolvency and Bankruptcy Code (IBC) allows for the withdrawal of CIRP

…

**Reasoning:** The court considered the fact that the Operational Creditor and the Corporate Debtor had

…

**Interpretation:** Section 12A and Regulation 30A provide a mechanism for withdrawing CIRP when a

…

**Application:** In this case, the settlement between M/s Lion Services Limited and M/s Aura

…

## Parties

- **Judges:** DEEPTI M…; HEMΑΝΤ Κ. S…
- **Appellants:** M/s. Lion…
- **Respondents:** M/s Aura Managemen…; M/s Aura Managemen…

## Timeline

- **2018-01-01 — Filing of Company…**: Company Petition No. IB-641/(ND)/2018 filed by the Operational Creditor under Section 9…
- **2019-01-15 — Admission of Company…**: Company Petition No. IB-641/(ND)/2018 was admitted by the order of the Special Principal…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 9 — Application for initiation of corporate insolvency…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-9)

---

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-chandigarh/aura-management-services-private-limited-ca-no-426-nd-2019-in-ib-641nd2018-b85af943