# In the matter of National Plywood Industries Pvt. Ltd. IA No. 34 of 2021 in C.P. (IB)No. 09-GB-2018

> NCLT judgment dated 2021-09-17. Citation: TCN-2021-NCLT-01094. The case involves JSVM Plywood Industries Ltd. and Stressed Assets Stabilization Fund (SASF) &…

- **Court:** NCLT
- **Order date:** 17 Sept 2021
- **Citation:** TCN-2021-NCLT-01094
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/national-plywood-industries-pvt-ltd-ia-no-34-of-2021-in-cp-ibno-09-gb-2018-9fe9035e

## Summary

### Background

The case involves JSVM Plywood Industries Ltd. and Stressed Assets Stabilization Fund (SASF) & Ors. under Section 60(5) of the IBC, 2016. The Registry brought to the notice of the Bench that the Hon'ble Supreme Court had passed certain orders on 19.08.2021, received on 13.09.2021. The NCLT was directed to dispose of pending interim applications. Another order was passed by the Hon'ble NCLAT on 07.09.2021, received on 16.09.2021, regarding an appeal filed by PLBB Products Pvt. Ltd against an order dated 10.02.2021 passed by the Adjudicating Authority (National Company Law Tribunal), Guwahati Bench.

## Facts

JSVM Plywood Industries Ltd. is undergoing Corporate Insolvency Resolution Process (CIRP). Stressed Assets Stabilization Fund (SASF) is a financial creditor. The original loan amount to the principal borrower was Rs. 3.07 crores, but the financial creditor has filed a claim for Rs. 133 crores plus. The Corporate Debtor (CD) is an MSME unit and a corporate guarantor to the principal borrower, National Boards Ltd. The CD was established on 11.12.1973. The CD paid Rs. 92.24 lacs on OTS worked out in 2005 for Rs. 2.16 crore approximately. PLBB Products Pvt. Ltd. is the 'Successful Resolution Applicant' whose Resolution Plan has been accepted by 91.84% of the members of the 'Committee of Creditors' (CoC), but the approval for the same is pending before the Adjudicating

…

## Issues and analysis

### Issue 1: Whether Section 29-A R/w Section 240-A of the Code refers to the Resolution Applicant in respect of …

**Ratio:** Section 29-A R/w Section 240-A of the Code refers to the Resolution Applicant in respect

…

**Reasoning:** The court observed that these sections provide certain reliefs to the promoter of the

…

**Interpretation:** These sections are interpreted to provide specific considerations and reliefs

…

**Application:** The court applied this ratio to the case, acknowledging the MSME's entitlement

…

## Parties

- **Judges:** H.V. Subb…; Prasanta Kumar…
- **Appellants:** PLBB Products…
- **Respondents:** JSVM Plywood…; Stressed Assets…

## Timeline

- **2019-11-08 — CIRP Commen…**: Corporate Insolvency…
- **2020-07-20 — Appellant Inco…**: PLBB Products Pvt. Ltd.…

## 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/national-plywood-industries-pvt-ltd-ia-no-34-of-2021-in-cp-ibno-09-gb-2018-9fe9035e