# In the matter of Prismack Biotechnics Ltd. IA(IBC) 923-2022 in C.P. (IB)-57(HYD)2021

> NCLT judgment dated 2022-09-09. Citation: TCN-2022-NCLT-01111. The case pertains to an application filed by the Resolution Professional under Section 33(2)…

- **Court:** NCLT
- **Order date:** 9 Sept 2022
- **Citation:** TCN-2022-NCLT-01111
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/prismack-biotechnics-ltd-iaibc-923-2022-in-cp-ib-57hyd2021-17aa30af

## Summary

### Background

The case pertains to an application filed by the Resolution Professional under Section 33(2) read with Section 34 of the Insolvency and Bankruptcy Code, 2016, seeking orders for the liquidation of Prismack Biotechnics Limited. The State Bank of India had initiated Corporate Insolvency Resolution Process (CIRP) against Prismack Biotechnics Limited, which was admitted by the Adjudicating Authority. Despite public announcements, no satisfactory resolution plans were received, leading the Committee of Creditors (CoC) to direct the Applicant to seek liquidation.

## Facts

The State Bank of India initiated Corporate Insolvency Resolution Process (CIRP) against Prismack Biotechnics Limited under Section 7 of the IBC, 2016. The CIRP was admitted by the Adjudicating Authority on 07.02.2022. The Resolution Professional made public announcements in April 2022, but only two unsatisfactory responses were received. The Committee of Creditors (CoC) directed the Resolution Professional to extend the time for resolution plans, but no plans were received. The CoC then directed the Applicant to file an application for extension of CIRP period, which was granted from 06.08.2022 to 05.09.2022. Subsequently, the CoC approved the liquidation of the Corporate Debtor with a 100% voting share on 01.09.2022. The Resolution Professional filed an application

…

## Issues and analysis

### Issue 1: Whether the application for liquidation of Prismack Biotechnics Limited should be allowed under …

**Ratio:** Section 33(2) of the Insolvency and Bankruptcy Code, 2016 allows the Adjudicating

…

**Reasoning:** The Adjudicating Authority reasoned that efforts to obtain a resolution for the Corporate

…

**Interpretation:** Section 33(2) provides a mechanism for liquidation when resolution efforts are

…

**Application:** The ratio and reasoning were applied to the specific facts of the case, where

…

## Parties

- **Judges:** TELAPROLU…; Veera Brahma Rao…
- **Appellants:** State Bank of…
- **Respondents:** Prismack Biotechni…; Prismack Biotechic…

## Timeline

- **2021-01-01 — Initiation…**: State Bank of India filed an application under Section 7 of the IBC, 2016, to initiate…
- **2022-02-07 — Admission o…**: The Adjudicating Authority admitted the CIRP…

## 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/prismack-biotechnics-ltd-iaibc-923-2022-in-cp-ib-57hyd2021-17aa30af