# In the matter of Newtech La Palacia Pvt. Ltd. IB-453-ND-2019

> NCLT judgment dated 2019-11-01. Citation: TCN-2019-NCLT-00755. The case involves an application filed by the Promoter/Shareholder and suspended director of…

- **Court:** NCLT
- **Order date:** 1 Nov 2019
- **Citation:** TCN-2019-NCLT-00755
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/newtech-la-palacia-pvt-ltd-ib-453-nd-2019-c6265903

## Summary

### Background

The case involves an application filed by the Promoter/Shareholder and suspended director of Newtech. La-Placia Private Limited seeking to terminate the Corporate Insolvency Resolution (CIR) process initiated against the company. The CIR process was initiated on 2019-09-30. The applicant sought to release the Corporate Debtor from the CIR process and allow the company to function freely through its Board of directors.

## Facts

The Corporate Insolvency Resolution Process (CIRP) was initiated against Newtech. La-Placia Private Limited. The Promoter/Shareholder and suspended director of the Corporate Debtor filed an application to terminate the CIRP. The grounds for termination were based on a settlement between the original Applicant/Financial Creditor and the Corporate Debtor. The Interim Resolution Professional (IRP) made public announcements as required under Section 13(1)(b) of the Insolvency and Bankruptcy Code (IBC), 2016. The last date for filing claims was 2019-10-26. The IRP confirmed that no claims were received. The Financial Creditor submitted that post-dated cheques were given by the directors of the Company and incase, the same are dishonoured and payment is not made, then

…

## Issues and analysis

### Issue 1: Whether the CIR process initiated against Newtech. La-Placia Private Limited should be terminated …

**Ratio:** A settlement between the parties involved in a CIR process, coupled with the absence of

…

**Reasoning:** The court reasoned that since the original Applicant/Financial Creditor and the Corporate

…

**Interpretation:** This implies that the court recognizes the importance of settlements in

…

**Application:** In this case, the settlement between the parties and the absence of claims

…

## Parties

- **Judges:** Ch. Mohd Sharief…; K.K. V…
- **Appellants:** Sayabir Kumar…
- **Respondents:** Newtech. La-Placia…; Newtech. La-Placia…

## Timeline

- **2019-09-30 — CIR Process In…**: Corporate Insolvency Resolution Process (CIRP) initiated against Newtech. La-Placia…
- **2019-10-12 — Public Annou…**: IRP made public announcements in newspapers as required under Section 13(1)(b) of the…

## 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/newtech-la-palacia-pvt-ltd-ib-453-nd-2019-c6265903