# In the matter of Sinnar Termal Power Ltd.

> NCLT judgment dated 2025-10-14. Citation: TCN-2025-NCLT-01607. Rattanindia Power Ltd., the promoter company of Sinnar Thermal Power Ltd. (Corporate Debtor),…

- **Court:** NCLT
- **Order date:** 14 Oct 2025
- **Citation:** TCN-2025-NCLT-01607
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-new-delhi/sinnar-termal-power-ltd-f919f698

## Summary

### Background

Rattanindia Power Ltd., the promoter company of Sinnar Thermal Power Ltd. (Corporate Debtor), filed an application under Section 60(5) of the Insolvency and Bankruptcy Code, 2016, seeking directions to treat Rs. 7,94,54,000/- disbursed to the Corporate Debtor as Insolvency Resolution Process (CIRP) costs.

## Facts

Rattanindia Power Ltd. (RPL), the promoter company of Sinnar Thermal Power Ltd., filed an application seeking to treat Rs. 7,94,54,000/- as CIRP costs.

RPL disbursed the funds to Sinnar Thermal Power Ltd. between 26.09.2022 and 19.01.2024.

The Operational Creditor, Shapoorji Pallonji & Co. Pvt. Ltd., initiated CIRP against Sinnar Thermal Power Ltd. under Section 9 of the IBC.

The NCLAT issued an interim order on 26.09.2022, directing the IRP not to take any further steps in the CIRP.

The CoC rejected the approval of RPL expenses in its first meeting.

RPL claimed to be a financial creditor with a claim of ₹77,33,56,037/- under Form ‘C’ and an operational creditor with a claim of ₹5,15,03,158/- under Form 'B'.

…

## Issues and analysis

### Issue 1: Whether the amount disbursed by the applicant qualifies as CIRP costs under Section 5(13)(c) of the …

**Ratio:** Section 5(13)(c) of the IBC defines CIRP costs as 'Costs incurred by the resolution

…

**Reasoning:** The Adjudicating Authority reasoned that the funds were disbursed by the promoter group,

…

**Interpretation:** The provision explicitly confines CIRP costs to expenses incurred by the

…

**Application:** Since the funds were disbursed by the promoter and not approved by the CoC,

…

## Parties

- **Judges:** MANNI SANKARIAH…; ATUL CHAT…
- **Appellants:** Chandan Mishra,…; Rattanindia Power…
- **Respondents:** Sinnar Thermal…; Shapoorji…
- **Other parties:** Rahul J…; Adarsh S…; +3 more
- **Advocates:** Karan B…; Karan M…; +7 more

## Timeline

- **2019-09-19 — Initiation…**: The Operational Creditor filed CP(IB) No. 2561/ND/2019 under Section 9 of the IBC against…
- **2022-09-19 — Admission of…**: This Hon'ble Tribunal, vide order dated 19.09.2022, admitted the petition, thereby…

## 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-new-delhi/sinnar-termal-power-ltd-f919f698