# In the matter of KMP SPINNERS PRIVATE LIMITED

> NCLT judgment dated 2025-11-18. Citation: TCN-2025-NCLT-01849. The case pertains to an application filed by the Resolution Professional of KMP Spinners…

- **Court:** NCLT
- **Order date:** 18 Nov 2025
- **Citation:** TCN-2025-NCLT-01849
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-chennai/kmp-spinners-private-limited-5e07976f

## Summary

### Background

The case pertains to an application filed by the Resolution Professional of KMP Spinners Private Limited seeking liquidation of the Corporate Debtor and appointment of Beleyur Resolutions Private Limited as the Liquidator.

## Facts

CIRP was initiated against KMP Spinners Private Limited on 11.07.2025 based on a petition filed by Aditya Birla Finance Limited under Section 7 of IBC.

The CoC comprised Indian Overseas Bank (75.60% voting share) and Aditya Birla Capital Limited (24.40% voting share).

The CoC resolved to appoint the Applicant as the RP in the 1st CoC meeting held on 14.08.2025.

The CoC decided for the liquidation of the Corporate Debtor with 100% voting due to its non-operational status and other factors.

The CoC resolved to appoint the Applicant as the Liquidator.

The industrial unit of the Corporate Debtor is situated at Elanthakuttai and is landlocked.

…

## Issues and analysis

### Issue 1: Whether the application for liquidation of the Corporate Debtor, KMP Spinners Private Limited, …

**Ratio:** The CoC has resolved with 100% voting to liquidate the Corporate Debtor considering its

…

**Reasoning:** The Corporate Debtor has been non-operational, has no employees, has not had production

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**Interpretation:** The Adjudicating Authority interpreted the CoC's decision as a valid basis for

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**Application:** The Adjudicating Authority allowed the application for liquidation based on the

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## Parties

- **Judges:** SANJIV…; Venkataraman…
- **Appellants:** Beleyur Resolution…
- **Respondents:** KMP Spinners Pvt.…
- **Other parties:** Indian Overseas…; ADITYA BIRLA…; +3 more
- **Advocates:** T. Ravich…; Santh…

## Timeline

- **11.07.2025 — CIRP Init…**: CIRP was initiated against the Corporate Debtor based on a petition filed by Aditya Birla…
- **14.08.2025 — 1st CoC M…**: The CoC resolved to appoint…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 19 — Personnel to extend co-operation to interim…](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-19)

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