# In the matter of Manjeera Constructions Ltd.

> NCLT judgment dated 2026-03-12. Citation: TCN-2026-NCLT-00275. The case involves an application filed under Sections 60(5), 14, and 74 of the Insolvency and…

- **Court:** NCLT
- **Order date:** 12 Mar 2026
- **Citation:** TCN-2026-NCLT-00275
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-hyderabad/manjeera-constructions-ltd-7433a889

## Summary

### Background

The case involves an application filed under Sections 60(5), 14, and 74 of the Insolvency and Bankruptcy Code, 2016, alleging that the Applicant (M/s. Manjeera Constructions Ltd.) was illegally removed as a partner from Respondent No.1 (Vasavi Realtor LLP) during the moratorium period.

## Facts

The Applicant, M/s. Manjeera Constructions Ltd., was a 20% partner in Respondent No.1, Vasavi Realtor LLP.

The Applicant was admitted into CIRP on 18.07.2023.

During the CIRP, Respondent Nos. 2 to 5 removed the Applicant as a partner of Respondent No.1 by a resolution dated 11.03.2024.

The Applicant's 20% partnership interest was reflected as an investment asset in the Information Memorandum issued during the CIRP.

Respondent No.1 invoked Clause 24.3(d) of the LLP Agreement, which allows for the expulsion of a partner if they have applied to be adjudged as an insolvent.

The Respondents contended that the removal was a contractual consequence under the LLP Agreement and did not violate the moratorium under Section 14 of the IBC.

…

## Issues and analysis

### Issue 1: Whether the removal of the Applicant as a partner of Respondent No.1 and the redistribution of its …

**Ratio:** Section 14(1)(b) of the IBC prohibits the transfer, encumbrance, alienation, or disposal

…

**Reasoning:** The Tribunal reasoned that the Applicant's 20% partnership interest was an asset of the

…

**Interpretation:** The Tribunal interpreted Section 14(1)(b) broadly to include any action that

…

**Application:** The Tribunal applied Section 14(1)(b) to the facts of the case and concluded

…

## Parties

- **Judges:** Rajeev Bh…; Sanjay…
- **Appellants:** Catalyst Trusteesh…; Manjeera Construct…
- **Respondents:** Vasavi Real…; Yerram Vija…; +6 more
- **Other parties:** Rohit Ramesh…
- **Advocates:** Aishvary…; Avinash A…; +3 more

## Timeline

- **2023-07-18 — Admission in…**: The Applicant was admitted into CIRP by the Adjudicating Authority vide order dated…
- **2024-01-09 — Information Me…**: An Information Memorandum dated 09.01.2024 was issued, wherein the 20% partnership…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 60(5) — Adjudicating Authority for corporate persons](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-60)

---

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-hyderabad/manjeera-constructions-ltd-7433a889