# In the matter of Lavasa Corporataon Ltd. Warasgaon Asset Maintenance Ltd. & Dasve Convention Center Ltd. MA 3664-2019 in C.P.(IB)-1765, 1757 & 574-MB-2018

> NCLT judgment dated 2020-02-26. Citation: TCN-2020-NCLT-01811. The case involves an application for the consolidation of the Corporate Insolvency Resolution…

- **Court:** NCLT
- **Order date:** 26 Feb 2020
- **Citation:** TCN-2020-NCLT-01811
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/lavasa-corporataon-ltd-warasgaon-asset-maintenance-ltd-dasve-convention-center-l-67d2fd40

## Summary

### Background

The case involves an application for the consolidation of the Corporate Insolvency Resolution Processes (CIRP) of Lavasa Corporation Limited (LCL) and its wholly-owned subsidiaries, Warasgaon Assets Maintenance Limited (WAML) and Dasve Convention Centre (DCCL). The CIRP of LCL was initiated following a petition by Raj Infrastructure Development (India) Private Limited. Subsequently, another petition by the same operational creditor was admitted against WAML. A petition under Section 9 of the Insolvency and Bankruptcy Code, 2016, filed by Highbrow Audio Visual Services Private Limited, led to the admission of DCCL into CIRP. The applicant seeks the consolidation of these CIRPs to facilitate a comprehensive resolution plan for the entire group, considering the

…

## Facts

Lavasa Corporation Limited (LCL) is a company incorporated under the Companies Act 1956, developing a hill station in Maharashtra with 49 subsidiaries. Warasgaon Assets Maintenance Limited (WAML) and Dasve Convention Centre (DCCL) are wholly-owned subsidiaries of LCL. The Corporate Insolvency Resolution Process (CIRP) was initiated against LCL based on a petition by Raj Infrastructure Development (India) Private Limited. Subsequently, CIRP was initiated against WAML and DCCL. LCL provided corporate guarantees for the debts of its subsidiaries. The Resolution Professional of LCL proposed that the resolution applicants wanted the entire group debt to be extinguished as a precondition for submitting resolution plans. WAML manages the infrastructure of LCL, and its lenders

…

## Issues and analysis

### Issue 1: Whether the Corporate Insolvency Resolution Processes (CIRP) of Lavasa Corporation Limited (LCL) …

**Ratio:** The principle of consolidation of CIRPs is based on the need to maximize the value of the

…

**Reasoning:** The court reasoned that LCL and its subsidiaries are deeply interconnected, with common

…

**Interpretation:** The interpretation of the Insolvency and Bankruptcy Code favors consolidation

…

**Application:** The court applied the principle of consolidation to the facts of the case,

…

## Parties

- **Judges:** SUCHITRA KANUPARTH…; Chandra Bha…; +1 more
- **Appellants:** Axis Bank L…
- **Respondents:** Lavasa Corporation…; Deep…

## Timeline

- **2018-08-30 — CIRP Commenceme…**: The Corporate Insolvency Resolution Process (CIRP) of Lavasa Corporation Limited (LCL)…
- **2018-11-13 — Expression of Interest…**: The Expression of Interest (EoI) for…

## 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-chandigarh/lavasa-corporataon-ltd-warasgaon-asset-maintenance-ltd-dasve-convention-center-l-67d2fd40