# In the matter of Abhishek Corporation Ltd.

> NCLT judgment dated 2024-01-25. Citation: TCN-2024-NCLT-02881. The case involves an application (I.A. 4554/2023) filed by Mahaalaxmi Textile, the applicant,…

- **Court:** NCLT
- **Order date:** 25 Jan 2024
- **Citation:** TCN-2024-NCLT-02881
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/abhishek-corporation-ltd-635838d8

## Summary

### Background

The case involves an application (I.A. 4554/2023) filed by Mahaalaxmi Textile, the applicant, under Section 60(5) of the Insolvency and Bankruptcy Code, 2016, seeking various reliefs related to the acquisition of Abhishek Corporation Ltd. as a going concern. Abhishek Corporation Ltd. was admitted to liquidation on 11.03.2019. The applicant, Mahaalaxmi Textile, emerged as the successful bidder in an e-auction conducted on 13.09.2023. The applicant seeks directions for transfer of ownership, concessions, and waivers to facilitate the smooth takeover and operation of the corporate debtor.

## Facts

Mahaalaxmi Textile, a partnership firm engaged in the textile business, participated in an e-auction for the sale of Abhishek Corporation Ltd., a corporate debtor undergoing liquidation. Abhishek Corporation Ltd. was admitted to liquidation on 11.03.2019. Mr. Ashish Mukund Chandak was initially appointed as the liquidator but was later replaced by Mr. Kshitiz Gupta due to health issues. Several e-auction notices were published, and Mahaalaxmi Textile emerged as the successful bidder with a bid of Rs. 40.45 crores on 13.09.2023. The applicant has paid 25% of the bid amount (Rs. 10,11,25,000/-). The applicant sought various reliefs and concessions to facilitate the takeover and operation of the corporate debtor as a going concern, including waivers of past liabilities,

…

## Issues and analysis

### Issue 1: Whether the Tribunal is empowered to grant necessary reliefs in relation to the Corporate Debtor, …

**Ratio:** Section 60(5)(c) of the Insolvency and Bankruptcy Code (IBC) empowers the Tribunal to

…

**Reasoning:** The Tribunal reasoned that it has the authority to grant reliefs and concessions

…

**Interpretation:** Section 60(5)(c) is interpreted broadly to allow the Tribunal to address any

…

**Application:** The Tribunal applied this principle by considering and granting several reliefs

…

## Parties

- **Judges:** LAKSHMI G…; Charanjeet Singh…
- **Appellants:** Mahaalaxmi…
- **Respondents:** Abhishek Corporati…; Kshitiz…

## Timeline

- **2019-03-11 — Liquidation…**: Liquidation order was passed…
- **2019-03-11 — Appointment of…**: Mr. Ashish Mukund Chandak was…

## 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-division-bench-court-i-chenn/abhishek-corporation-ltd-635838d8