# In the matter of Sinnar Thermal Power Limited

> NCLT judgment dated 2025-07-22. Citation: TCN-2025-NCLT-01177. Bharat Heavy Electricals Limited (BHEL) filed an application under Section 60(5) of the…

- **Court:** NCLT
- **Order date:** 22 Jul 2025
- **Citation:** TCN-2025-NCLT-01177
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/nclt-new-delhi/sinnar-thermal-power-limited-d5f15aef

## Summary

### Background

Bharat Heavy Electricals Limited (BHEL) filed an application under Section 60(5) of the Insolvency and Bankruptcy Code, 2016, seeking directions to the Resolution Professional (RP) of Sinnar Thermal Power Limited to admit its claim submitted in Form B dated 09.04.2024. The claim arises out of supply and service contracts and an interim arbitral award.

## Facts

Bharat Heavy Electricals Limited (BHEL) is the Applicant, seeking admission of its claim against Sinnar Thermal Power Limited (STPL), the Corporate Debtor.

BHEL's claim arises from supply and service contracts for two thermal power plant projects awarded by STPL, as well as an interim arbitral award dated 27.07.2017.

The Resolution Professional (RP) admitted claims under Phase I and Phase II contracts at a notional value of ₹1 each and rejected the Spares Package claim entirely.

BHEL filed its claims under FORM -B as an Operational Creditor of the CD on 09.04.2024.

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## Issues and analysis

### Issue 1: Whether the Resolution Professional (RP) was justified in admitting the claims of the Applicant …

**Ratio:** The RP has only administrative functions and cannot adjudicate upon the validity of

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**Reasoning:** The Delhi High Court has recently, vide order dated 06.03.2025 in OMP (Comm.) 372/2017,

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**Interpretation:** Regulation 7(2)(iii) of the CIRP Regulations provides that a decree or award

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**Application:** The present case satisfies both conditions—there is an interim award as well as

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## Parties

- **Judges:** MANNI SANKARIAH…; ATUL CHAT…
- **Appellants:** Bharat Heavy…
- **Respondents:** Sinnar Thermal…; Rahul J…
- **Other parties:** Shapoorji…
- **Advocates:** Amish T…; Anushree Ku…; +5 more

## Timeline

- **2019 — C.P. IB NO 25…**: Case fil…
- **2022-09-19 — CIRP Init…**: CIRP of the CD was initiated…

## 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)

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