# In the matter of Gammon India Limited & Gammon Engineers and Contractors Private Limited

> NCLT judgment dated 2024-04-26. Citation: TCN-2024-NCLT-01559. The case involves an application (IA No. 2613 of 2023) filed in an ongoing corporate insolvency…

- **Court:** NCLT
- **Order date:** 26 Apr 2024
- **Citation:** TCN-2024-NCLT-01559
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/gammon-india-limited-gammon-engineers-and-contractors-private-limited-126ddcc4

## Summary

### Background

The case involves an application (IA No. 2613 of 2023) filed in an ongoing corporate insolvency resolution process (CIRP) under Section 9 of the Insolvency and Bankruptcy Code, 2016. The applicant, Grim Tech Project India Private Limited, seeks to replace Gammon India Limited (the original respondent) with Gammon Engineers and Contractors Private Limited (the proposed respondent). The original petition was filed due to unpaid dues for work done by the applicant for Gammon India Limited. The original respondent argued that the liability for the debt had been transferred to the proposed respondent through a scheme of arrangement sanctioned by the tribunal. The applicant claims they were unaware of this transfer until the original respondent's written submissions.

## Facts

Grim Tech Project India Private Limited (the Applicant) filed a petition under Section 9 of the Insolvency and Bankruptcy Code, 2016, against Gammon India Limited (the Original Respondent) for unpaid dues. The dues arose from a work order (GIL/8934/WO/Piling/Dahej dated 25.01.2011) for piling work. The Applicant raised running bills (tax invoices) which were certified by the Original Respondent. The Original Respondent failed to pay the dues, leading the Applicant to issue a statutory notice dated 13.01.2015 under Sections 433 and 434 of the Companies Act, 1956. The Original Respondent replied on 22.01.2015, requesting documentary evidence. The Applicant reduced the claim by Rs. 90,43,984/- on 17.09.2016. The Applicant initially filed a Company Petition No. 862 of 2016

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## Issues and analysis

### Issue 1: Whether the Applicant should be allowed to amend the Company Petition to substitute Gammon India …

**Ratio:** The principle that amendments should be allowed to avoid multiplicity of suits and where

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**Reasoning:** The tribunal reasoned that the proposed amendment to substitute the Proposed Respondent

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**Interpretation:** This principle allows for amendments to correct errors or reflect changes in

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**Application:** The tribunal applied this principle by allowing the substitution of the

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## Parties

- **Judges:** ANIL RAJ C…; Kuldip Kumar…
- **Appellants:** Grim Tech Project…
- **Respondents:** Gammon India…

## Timeline

- **2011-01-25 — Work Ord…**: Work Order No. GIL/8934/WO/P…
- **2011-01-20 — Request to…**: The Original Respondent requested the…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 8 — Insolvency resolution by operational creditor](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-8)

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