# In the matter of Avestra Chemical India Pvt. Ltd.C.P. No. 3728-IB-2019

> NCLT judgment dated 2022-07-20. Citation: TCN-2022-NCLT-01639. The case pertains to an application filed by Avestra Chemical India Pvt. Ltd. under Section 10…

- **Court:** NCLT
- **Order date:** 20 Jul 2022
- **Citation:** TCN-2022-NCLT-01639
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/avestra-chemical-india-pvt-ltdcp-no-3728-ib-2019-67f718da

## Summary

### Background

The case pertains to an application filed by Avestra Chemical India Pvt. Ltd. under Section 10 of the Insolvency and Bankruptcy Code, 2016, for initiating the Corporate Insolvency Resolution Process (CIRP). The Corporate Applicant claimed that it was unable to repay its outstanding dues to its creditors. The application was filed before the National Company Law Tribunal (NCLT), Mumbai Bench.

## Facts

Avestra Chemical India Pvt. Ltd. filed an application under Section 10 of the Insolvency and Bankruptcy Code, 2016, to initiate Corporate Insolvency Resolution Process (CIRP). The company's registered office is located in Mumbai. The company was incorporated on November 17, 2009, with a paid-up share capital of Rs. 2,14,97,160/-. The company submitted a copy of a special resolution passed by the shareholders in their meeting held on August 16, 2019, for initiating CIRP. The Board of Directors authorized Mr. Satish Kumar to file the necessary application. The company disclosed that a sum of Rs. 28,00,36,513.69/- is due to Operational Creditors, including Indian Potash Ltd., Lux Commodities Inc, and Rumeco Ltd. The company's financial position has been underprivileged

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## Issues and analysis

### Issue 1: Whether the application filed by the Corporate Applicant is complete in all respects as required by …

**Ratio:** Section 10 of the Insolvency and Bankruptcy Code, 2016, prescribes the procedure for

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**Reasoning:** The NCLT perused the petition, the affidavit, and the supporting documents annexed to the

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**Interpretation:** Section 10 outlines the necessary documents and information required for a

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**Application:** The NCLT determined that the Corporate Applicant had provided all the necessary

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## Parties

- **Judges:** H.V. Subb…; ANURADHA SANJAY…
- **Respondents:** Avestra Chemical…

## Timeline

- **2009-11-17 — Incorpor…**: Avestra Chemical India…
- **2019-08-16 — Special Res…**: Shareholders passed a special resolution for initiating Corporate Insolvency Resolution…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 14 — Moratorium](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-14)

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