# In the matter of RRB Realtors Private Limited

> NCLT judgment dated 2024-08-28. Citation: TCN-2024-NCLT-00750. The case involves an application filed by Pratiti Trading Private Limited (Financial Creditor)…

- **Court:** NCLT
- **Order date:** 28 Aug 2024
- **Citation:** TCN-2024-NCLT-00750
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-division-bench-court-i-chenn/rrb-realtors-private-limited-5136ddda

## Summary

### Background

The case involves an application filed by Pratiti Trading Private Limited (Financial Creditor) to restore a Main Application (CP (IB) No.305/MB/2020) that was dismissed for default. The Main Application was filed under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC) to initiate Corporate Insolvency Resolution Process (CIRP) against RRB Realtors Private Limited (Corporate Debtor) for defaulting on a debt of Rs.3,99,20,000/-. The Main Application was initially pending before Bench-II and was later transferred to the current Bench. The Financial Creditor's counsel relinquished engagement, leading to the dismissal of the Main Application due to non-appearance.

## Facts

Pratiti Trading Private Limited (Financial Creditor) filed CP (IB) No.305/MB/2020 against RRB Realtors Private Limited (Corporate Debtor) under Section 7 of the IBC, seeking to initiate CIRP due to a default of Rs.3,99,20,000/-. The Main Application was dismissed for default because the Financial Creditor's counsel had relinquished engagement on 04.01.2024, and no one appeared on behalf of the Financial Creditor on 11.01.2024. The Financial Creditor then filed a restoration application, arguing that the default was not intentional as they were in the process of engaging new counsel. The Corporate Debtor objected to the restoration but submitted that the Bench may exercise its discretion. The restoration application was filed on 10.02.2024 and heard on 04.06.2024.

## Issues and analysis

### Issue 1: Whether the Restoration Application No.30/2024 in CP (IB) No. 305/MB/2020 should be allowed, …

**Ratio:** Rule 48 of the NCLT Rules allows for restoration of applications dismissed for default if

…

**Reasoning:** The court reasoned that the Financial Creditor's absence on 11.01.2024 was due to the

…

**Interpretation:** The court interpreted Rule 48 of the NCLT Rules to allow for restoration when

…

**Application:** The court applied the ratio to the facts of the case, finding that the

…

## Parties

- **Judges:** K. R. SAJI…; SANJIV…
- **Appellants:** Pratiti Trading…
- **Respondents:** RRB REALTORS…
- **Advocates:** Rohan Agg…; Vidisha R…; +4 more

## Timeline

- **2020-01-04 — Main Applicati…**: CP (IB) No.305/MB/2020 filed by Pratiti Trading Private Limited against RRB Realtors…
- **2023-08-30 — First Hearing Before…**: The Main Application was heard for the first time before the current Bench after being…

## 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)

---

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/rrb-realtors-private-limited-5136ddda