# In the matter of Cheema Paper Mills Pvt. Ltd. CP No. (IB) 414-ALD-2019

> NCLT judgment dated 2022-06-13. Citation: TCN-2022-NCLT-02249. The case pertains to CP No. (IB) 414/ALD/2019 before the National Company Law Tribunal,…

- **Court:** NCLT
- **Order date:** 13 Jun 2022
- **Citation:** TCN-2022-NCLT-02249
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/cheema-paper-mills-pvt-ltd-cp-no-ib-414-ald-2019-2b03646d

## Summary

### Background

The case pertains to CP No. (IB) 414/ALD/2019 before the National Company Law Tribunal, Allahabad Bench. The matter was listed for pronouncement of an order.

## Facts

The case involves Asset Reconstruction Company (India) Ltd as the financial creditor and M/S Cheema Paper Mills Pvt Ltd as the corporate debtor. The matter was listed for pronouncement. However, before the board commenced, the counsels representing both parties informed the court that the matter had been settled out of court. This led to the dismissal of CP No. (IB) 414/ALD/2019 as withdrawn.

## Issues and analysis

### Issue 1: Whether CP No. (IB) 414/ALD/2019 should be dismissed as withdrawn given the settlement reported by …

**Ratio:** When parties to a case inform the court that they have settled the matter out of court,

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**Reasoning:** The court accepted the submission of the learned counsel on both sides that the matter

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**Interpretation:** This reflects the principle that courts generally respect and facilitate

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**Application:** In this specific case, since both the financial creditor and the corporate

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## Parties

- **Judges:** Rajasekha…; Virendra Kumar…
- **Appellants:** Asset Reconstructi…
- **Respondents:** M/s Cheema Paper…

## Timeline

- **2022-06-13 — Hearing…**: Hearing held on June 13th, 2022, at 2:30 PM.…

## 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)

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