# In the matter of Niryat Sam Apparels India Pvt. Ltd.

> NCLT judgment dated 2023-05-31. Citation: TCN-2023-NCLT-05505. Yes Bank Ltd. initiated insolvency proceedings against M/s. Niryat Sam Apparels (India) Pvt.…

- **Court:** NCLT
- **Order date:** 31 May 2023
- **Citation:** TCN-2023-NCLT-05505
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-new-delhi/niryat-sam-apparels-india-pvt-ltd-0d5c99e1

## Summary

### Background

Yes Bank Ltd. initiated insolvency proceedings against M/s. Niryat Sam Apparels (India) Pvt. Ltd. JC Flowers Asset Reconstruction Pvt. Ltd. filed an application seeking substitution in place of Yes Bank Ltd. based on an assignment deed.

## Facts

Yes Bank Ltd. filed an insolvency application against M/s. Niryat Sam Apparels (India) Pvt. Ltd.

JC Flowers Asset Reconstruction Pvt. Ltd. sought to be substituted in place of Yes Bank Ltd. based on an assignment deed.

The assignment deed was dated 16.12.2022.

The tribunal considered previous orders and submissions from counsels.

The tribunal directed notice to be issued to Yes Bank.

## Issues and analysis

### Issue 1: Whether JC Flowers Asset Reconstruction Pvt. Ltd. can be substituted in place of Yes Bank Ltd. as …

**Ratio:** Section 5(7) of the IBC defines 'Financial Creditor' also includes a person to whom such

…

**Reasoning:** The tribunal considered the assignment deed and previous orders, noting that the assignee

…

**Interpretation:** The assignment of debt allows the assignee to continue the insolvency

…

**Application:** JC Flowers Asset Reconstruction Pvt. Ltd. sought to be substituted in place of

…

## Parties

- **Judges:** BACHU VENKAT…; RAHUL BHA…
- **Appellants:** Yes Bank…; J.C. Flowers…; +1 more
- **Respondents:** M/s. Niryat Sam…
- **Other parties:** Housing Developmen…
- **Advocates:** Abhishek…; Karan K…; +7 more

## Timeline

- **2023-05-31 — Order Del…**: Order delivered on…
- **2022-12-16 — Assignmen…**: Assignment deed dated…

## 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-new-delhi/niryat-sam-apparels-india-pvt-ltd-0d5c99e1