# In the matter of Ghotaringa Minerals Ltd. CA (IB) No. 775-KB-2018 in CP (IB) No. 758-KB-2017

> NCLT judgment dated 2018-08-31. Citation: TCN-2018-NCLT-00835. State Bank of India filed a petition under Section 7 of the Insolvency and Bankruptcy Code,…

- **Court:** NCLT
- **Order date:** 31 Aug 2018
- **Citation:** TCN-2018-NCLT-00835
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/ghotaringa-minerals-ltd-ca-ib-no-775-kb-2018-in-cp-ib-no-758-kb-2017-3d6c4ece

## Summary

### Background

State Bank of India filed a petition under Section 7 of the Insolvency and Bankruptcy Code, 2016 against Ghotaringa Minerals Limited to initiate the Corporate Insolvency Resolution Process (CIRP). The CIRP was admitted on 22.02.2018, and Mr. Ashok Kumar Gulla was appointed as the Insolvency Resolution Professional (IRP). The IRP made a public announcement of the CIRP and called for resolution plans. The Committee of Creditors (CoC) confirmed the appointment of the IRP on 17.04.2018.

## Facts

State Bank of India initiated Corporate Insolvency Resolution Process (CIRP) against Ghotaringa Minerals Limited under Section 7 of the Insolvency and Bankruptcy Code, 2016. The CIRP was admitted on 22.02.2018, and Ashok Kumar Gulla was appointed as the Insolvency Resolution Professional (IRP). The IRP solicited resolution plans, but none were received. The Committee of Creditors (CoC) voted on 25.07.2018 to proceed with liquidation under Section 33(2) of the Code. The CIRP period of 180 days ended on 14.08.2018. The court, noting the absence of a resolution plan, ordered the liquidation of Ghotaringa Minerals Limited and appointed Ashok Kumar Gulla as the liquidator. The moratorium under Section 14 was ceased, and a fresh moratorium under Section 33(5) was commenced.

…

## Issues and analysis

### Issue 1: Whether the Corporate Debtor, Ghotaringa Minerals Limited, should be liquidated due to the failure …

**Ratio:** Section 33(2) of the Insolvency and Bankruptcy Code, 2016 allows for the liquidation of

…

**Reasoning:** The court reasoned that since no resolution plan was received by the Resolution

…

**Interpretation:** Section 33(2) is interpreted to mean that if the CIRP fails to produce a viable

…

**Application:** In this case, the absence of any resolution plan despite the efforts of the IRP

…

## Parties

- **Judges:** Jinan…; Madan B.…
- **Appellants:** State Bank of…
- **Respondents:** GHOTARINGA…

## Timeline

- **2018-02-22 — CIRP Admi…**: The authority admitted the Corporate Insolvency Resolution Process (CIRP) of Ghotaringa…
- **2018-04-17 — IRP Appointment…**: The Committee of Creditors (CoC) confirmed the appointment of Mr. Ashok Kumar Gulla as…

## 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)

---

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/ghotaringa-minerals-ltd-ca-ib-no-775-kb-2018-in-cp-ib-no-758-kb-2017-3d6c4ece