# In the matter of AVJ Developers (India) Private Limited C.P. No. IB-654(PB)-2019

> NCLT judgment dated 2020-07-20. Citation: TCN-2020-NCLT-01004. The case pertains to an application under Section 7 of the Insolvency & Bankruptcy Code (CIRP).…

- **Court:** NCLT
- **Order date:** 20 Jul 2020
- **Citation:** TCN-2020-NCLT-01004
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/avj-developers-india-private-limited-cp-no-ib-654pb-2019-ec691c6b

## Summary

### Background

The case pertains to an application under Section 7 of the Insolvency & Bankruptcy Code (CIRP). The CoC passed a resolution on 2020-06-23 to extend the CIRP period for another 90 days.

## Facts

Mr. Vishal Fabrics & Ors. filed an application/petition. M/s. AVJ Developers (India) Pvt. Ltd. is the respondent. The application was filed under Section 7 of the Insolvency & Bankruptcy Code (CIRP). The CoC passed a resolution on 2020-06-23 to extend the CIRP period for another 90 days. The Resolution Professional counsel did not intimate the hearing date to the Electricity Department (Respondent).

## Issues and analysis

### Issue 1: Whether the CIRP period should be …

**Ratio:** Section 12(2) of the IBC allows for the extension of the CIRP period based on the

…

**Reasoning:** The CoC had passed a resolution on 2020-06-23 to extend the CIRP period for another 90

…

**Interpretation:** Section 12(2) of the IBC provides the legal basis for extending the CIRP

…

**Application:** Based on the CoC's resolution, the court allowed the extension of the CIRP

…

## Parties

- **Judges:** SH. B.S.V.…; Sh. Hemant Kumar…
- **Appellants:** Vishal Fabrics &…
- **Respondents:** M/s. AVJ Developer…

## Timeline

- **2020-06-23 — CoC Resol…**: The Committee of Creditors (CoC) passed a resolution to extend the CIRP period for…
- **2020-07-01 — CIRP Extension…**: The extension of the CIRP period for…

## 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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