# In the matter of Lagrowth Associates Private Limited

> NCLT judgment dated 2024-03-12. Citation: TCN-2024-NCLT-02103. The application I.A./3848/ND/2023 was filed by Mr. Mohan Lal Jain, the Resolution Professional…

- **Court:** NCLT
- **Order date:** 12 Mar 2024
- **Citation:** TCN-2024-NCLT-02103
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/lagrowth-associates-private-limited-46368fbb

## Summary

### Background

The application I.A./3848/ND/2023 was filed by Mr. Mohan Lal Jain, the Resolution Professional of M/s. Lagrowth Associates Private Limited, the Corporate Debtor, seeking liquidation under Section 33 of the Insolvency and Bankruptcy Code, 2016. The Corporate Insolvency Resolution Process (CIRP) was initiated against the Corporate Debtor vide an order dated 10.02.2023 in application C.P.(IB)/796/ND/2022 filed by M/s. Montage Enterprise Private Limited, the Operational Creditor. Mr. Mohan Lal Jain was appointed as the Interim Resolution Professional and later confirmed as the Resolution Professional. The Committee of Creditors (CoC) decided to liquidate the Corporate Debtor due to the cessation of operations and the absence of assets, deeming the invitation of a

…

## Facts

The Corporate Insolvency Resolution Process (CIRP) was initiated against M/s. Lagrowth Associates Private Limited ('Corporate Debtor') based on an application filed by M/s. Montage Enterprise Private Limited ('Operational Creditor'). Mr. Mohan Lal Jain was appointed as the Interim Resolution Professional and later confirmed as the Resolution Professional. A public announcement was made inviting claims from the public, resulting in total claims of Rs. 5,548,894,974/- filed by the creditors, out of which Rs. 4,655,917,277/- was provisionally admitted. An invitation for expression of interest (EOI) was published, but no expression of interest was received. The CoC observed that the Corporate Debtor was not in operation, had a low asset base, and the chances of receiving a

…

## Issues and analysis

### Issue 1: Whether the Adjudicating Authority should allow the application for liquidation of the Corporate …

**Ratio:** Section 33 of the Insolvency and Bankruptcy Code, 2016, allows for the initiation of

…

**Reasoning:** The CoC, in its commercial wisdom, decided to liquidate the Corporate Debtor due to the

…

**Interpretation:** Section 33 empowers the CoC to decide on liquidation when a resolution plan is

…

**Application:** In this case, the CoC's decision to liquidate the Corporate Debtor was based on

…

## Parties

- **Judges:** MANNI SANKARIAH…; Sanjeev R…
- **Appellants:** Mohan Lal…
- **Respondents:** M/s. Lagrowth…; M/s. Montage…

## Timeline

- **2023-02-10 — CIRP Init…**: Corporate Insolvency Resolution Process (CIRP) was initiated against M/s. Lagrowth…
- **2023-04-06 — Publication o…**: The invitation for expression of Interest in Form-G was published as approved by CoC in…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 52 — Secured creditor in liquidation proceedings](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-52)

---

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/lagrowth-associates-private-limited-46368fbb