# In the matter of Nanda Energy Limited TCP-428-(IB)-CB-2017

> NCLT judgment dated 2017-08-29. Citation: TCN-2017-NCLT-00508. Vituous Urja Limited filed a company petition against Nandha Energy Limited under Section 433…

- **Court:** NCLT
- **Order date:** 29 Aug 2017
- **Citation:** TCN-2017-NCLT-00508
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/nanda-energy-limited-tcp-428-ib-cb-2017-1ad70ddb

## Summary

### Background

Vituous Urja Limited filed a company petition against Nandha Energy Limited under Section 433 (e) and (f), 434 (i) (a) and 439 (i) (b) of the Companies Act, 1956, before the Madras High Court. The case was transferred to the National Company Law Tribunal (NCLT) pursuant to the Companies (Transfer of Pending Proceedings) Rules, 2016. The NCLT is now determining the petition under the Insolvency and Bankruptcy Code, 2016.

## Facts

Vituous Urja Limited, the Operational Creditor, filed a company petition against Nandha Energy Limited, the Corporate Debtor, under the Companies Act, 1956. The case was transferred from the Madras High Court to the National Company Law Tribunal (NCLT). The NCLT admitted the petition and declared a moratorium. The Operational Creditor did not propose an Interim Resolution Professional (IRP). The NCLT referred the matter to the Insolvency and Bankruptcy Board of India (IBBI) for recommendation of an IRP. The IBBI recommended Mr. Mudappallur Varieth Gangasharam. This led to the appointment of Mr. Mudappallur Varieth Gangasharam as the IRP.

## Issues and analysis

### Issue 1: Whether an Interim Resolution Professional (IRP) …

**Ratio:** The Insolvency and Bankruptcy Code (IBC) 2016 provides for the appointment of an IRP to

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**Reasoning:** The petitioner/OC did not propose the name of an Interim Resolution Professional (IRP),

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**Interpretation:** The IBC mandates the appointment of an IRP to take control of the Corporate

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**Application:** Since the petitioner did not propose an IRP, the NCLT directed the IBBI to

…

## Parties

- **Judges:** K. Anantha…
- **Appellants:** Vituous Urja…
- **Respondents:** Nandha Energy…

## Timeline

- **2017-07-31 — Order Da…**: Adjudicating Authority admitted the instant…
- **2017-08-21 — Communication…**: Registry received a communication from IBBI recommending the name of Mr. Mudappallur…

## 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)

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