# In the matter of Reon Cast Pvt. Ltd. IA 360-2019 in C.P. (IB) No. 174-NCLT-AHM-2018

> NCLT judgment dated 2019-06-26. Citation: TCN-2019-NCLT-02777. The case involves an Interlocutory Application No. 360 of 2019 filed in connection with CP (IB)…

- **Court:** NCLT
- **Order date:** 26 Jun 2019
- **Citation:** TCN-2019-NCLT-02777
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chandigarh/reon-cast-pvt-ltd-ia-360-2019-in-cp-ib-no-174-nclt-ahm-2018-6e17975e

## Summary

### Background

The case involves an Interlocutory Application No. 360 of 2019 filed in connection with CP (IB) No. 174/9/NCLT/AHM/2018. The initial IB Petition was admitted on 30.05.2019, initiating the Corporate Insolvency Resolution Process (CIRP) for Reon Cast Pvt. Ltd. and declaring a moratorium. An Interim Resolution Professional (IRP) was also appointed. Subsequently, before the Committee of Creditors (CoC) could be formed, the applicant sought to withdraw the IB Petition.

## Facts

Aspire Enterprise filed an IB Petition against Reon Cast Pvt. Ltd. The petition was admitted on 30.05.2019, initiating CIRP and a moratorium. An IRP was appointed. Before the CoC was formed, Aspire Enterprise applied to withdraw the petition on 25.06.2019. The IRP, Manish Buchasia, confirmed receiving Rs. 75,000 towards fees and expenses. The operational creditor confirmed receiving Rs. 1,37,658 via NEFT on 15.06.2019. The applicant relied on the Supreme Court's judgment in Swiss Ribbons vs. Union of India, which allows withdrawal before CoC formation. The key fact is that the settlement and withdrawal application occurred before the CoC was constituted.

## Issues and analysis

### Issue 1: Whether the Adjudicating Authority can permit the withdrawal of an IB Petition after its admission …

**Ratio:** The ratio is derived from the Supreme Court's judgment in Swiss Ribbons vs. Union of

…

**Reasoning:** The court reasoned that since the application for withdrawal was filed before the CoC was

…

**Interpretation:** The Supreme Court's judgment in Swiss Ribbons vs. Union of India is interpreted

…

**Application:** The ratio and reasoning were applied to the specific facts of the case, where

…

## Parties

- **Judges:** Harihar Prakash…; Manorama…
- **Appellants:** Aspire Ente…
- **Respondents:** Reon Cast Pvt.…

## Timeline

- **2018-01-01 — CP (IB)…**: CP (IB) No. 174/9/NCLT/A…
- **2019-05-30 — Admission of IB…**: The Bench admitted the IB Petition, declared a moratorium, and initiated CIRP for Reon…

## 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/reon-cast-pvt-ltd-ia-360-2019-in-cp-ib-no-174-nclt-ahm-2018-6e17975e