# In the matter of Hajee A P Bava & Company Construction Private Limited C.P. (IB)No. 110-BB-2020

> NCLT judgment dated 2021-03-23. Citation: TCN-2021-NCLT-02603. The case pertains to C.P.(IB)No.110/BB/2020 filed under Section 9 of the Insolvency and…

- **Court:** NCLT
- **Order date:** 23 Mar 2021
- **Citation:** TCN-2021-NCLT-02603
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/hajee-a-p-bava-company-construction-private-limited-cp-ibno-110-bb-2020-51624cfc

## Summary

### Background

The case pertains to C.P.(IB)No.110/BB/2020 filed under Section 9 of the Insolvency and Bankruptcy Code (IBC), 2016, read with Rule 6 of the I&B (AAA) Rules, 2016, by Mr. Palaniappan Lakshumanan (Proprietor of M/s. Sundaram Movers) as the Operational Creditor, seeking to initiate Corporate Insolvency Resolution Process (CIRP) against M/s. Hajee A.P. Bava & Company Constructions Private Limited (Respondent/Corporate Debtor) for a default amount of Rs. 22,90,789.50, including principal and interest at 18% p.a.

## Facts

Mr. Palaniappan Lakshumanan, operating as Sundaram Movers, filed C.P.(IB)No.110/BB/2020 against Hajee A.P. Bava & Company Constructions Private Limited, seeking to initiate CIRP due to a default of Rs. 22,90,789.50. The case was filed under Section 9 of the IBC, 2016. The matter was listed on multiple dates but adjourned each time as the parties explored settlement. Eventually, Hajee A.P. Bava & Company paid Rs. 11,76,000 to Sundaram Movers as a full and final settlement, leading Sundaram Movers to issue a no-due certificate and file a Memorandum of Withdrawal. The key fact is the settlement between the parties before the admission of the case, which led to the withdrawal of the petition.

## Issues and analysis

### Issue 1: Whether the C.P.(IB)No.110/BB/2020 can be disposed of as withdrawn based on the settlement between …

**Ratio:** A Company Petition can be withdrawn if the parties have settled the matter and the case

…

**Reasoning:** The court reasoned that since the claim in question had been settled between the parties

…

**Interpretation:** This interpretation aligns with the spirit of the IBC, which encourages

…

**Application:** In this specific case, the Corporate Debtor settled the outstanding dues with

…

## Parties

- **Judges:** Rajeswara Rao…; Ashutosh C…
- **Appellants:** Palaniappan…
- **Respondents:** M/s. Hajee A.P.…

## Timeline

- **2020-05-06 — Listing…**: The case was listed for…
- **2020-06-22 — Listing…**: The case was listed for…

---

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/hajee-a-p-bava-company-construction-private-limited-cp-ibno-110-bb-2020-51624cfc