NATIONAL COMPANY LAW APPELLATE TRIBUNAL AT CHENNAI (APPELLATE JURISDICTION)

Company Appeal (AT) (CH) (Ins) No. 567/2025 (IA Nos. 1597, 1598 & 1599/2025)

In the matter of :

M/s.Ashok Kumar Ayan Kumar A Partnership Firm, Having its Registered Office at C-300, Meghalaya Tower, Church Road, Jaipur -302 001 ….Appellant V Devvrat Rana Bankruptcy Trustee of Mr. Mahendra Kumar Agarwal, R/o. Apt#684, Sector-A, Block B & C, Vasant Kunj, New Delhi - 110 070 …. Respondent No.1 Mr. Mahendra Kumar Agarwal, S/o. PD Agarwal, Aged about 70 years, R/o. Flat No. 2A, The Address, 8-2-415/1, Road No. 4, Banjara Hills, Hyderabad, Telangana - 500 034 …. Respondent No.2 Present:

For Appellant : Mr. Vikram Pooserla, Senior Advocate For Respondents : Ms. Rajeshwari Singh, Advocate for R1/RP Mr. Devvrat Rana, RP

ORDER

(Hybrid Mode)

11.11.2025:

Oral Judgment : Justice Sharad Kumar Sharma, Member (Judicial):

1. The Appellant claims itself to be a Partnership Firm consisting of 3 Partners and are said to have been engaged in the business of consultancy.

2. It is contended that, the Respondent No. 1 is the Bankruptcy Trustee of Respondent No. 2, who was admitted into the Bankruptcy, by the orders of the Ld. Adjudicating Authority as it was passed on 28.05.2024 in CP (IB) No. 389 / 121 / HDB / 2022, which was filed by the PTC India Financial Services Limited.

3. It is stated that during March 2006, Respondent No. 2 i.e. Mahendra Kumar Agarwal, the Bankrupt, had approached the Appellant herein to avail an unsecured loan facility and the Appellant in lieu thereof, had advanced an amount of Rs.2 Crores and subsequent to this, at the request of Respondent No. 2, had advanced more amount and the total amount thus advanced by the Appellant stood at Rs.30,51,44,225/- as it was payable on 31.03.2024, which was inclusive of the interest too.

4. Its owing to the aforesaid loan liability, the Respondent No. 2 i.e. the Bankrupt, offered to sell the properties and accordingly certain agreements for sale was entered into between Respondent No. 2 and the Appellant.

5. In the agreement for sale executed on 29.12.2017 in favour of the Applicant / Appellant, a certain piece of property Bearing No. C-6, admeasuring 1342 sq. yards situated at `Mediciti Enclave’ in Survey No. 90/P, Ghanpur Village, Medchal Mandal, Rangareddy District, Andhra Pradesh, was agreed to be sold as against the total debt of Rs.13,75,25,795/-.

6. Another agreement for sale dated 16.06.2017 was said to have been executed in favour of the Applicant / Appellant for sale of 21,002 equity shares of M/s. TCI Industries Limited, at the agreed rate of Rs.1,660/- per share, as an adjustment of Rs.10,95,63,320/- as against the total debt of Rs.13,75,25,795/-.

7. The Applicant / Appellant, in this Application, thus preferred by the Appellant was, by invoking the provisions contained under Section 60(5) of I & B Code, 2016, and had filed an Interlocutory Application before the Ld. Adjudicating Authority i.e. National Company Law Tribunal, Hyderabad Bench, which was numbered as IA (IBC) No. 936 / 2025, which was preferred in pending CP (IB) No. 389 / 121 / HDB / 2022.

In the said application thus preferred, the Appellant has prayed for grant of relief as extracted under:-

``To direct the Respondent No. 1 to exclude the property and shares as detailed in Para 9 of the said application out of the bankruptcy estate and the bankruptcy process of Respondent No. 2’’.

8. When this application was taken up for consideration by the Ld. Adjudicating Authority, it came to light that, the said property, which was subject matter of the agreement for sale dated 29.12.2017, has been included in the disputed property as an asset of Bankrupt, and the shares held by Respondent No. 2 as covered by Agreement dated 16.06.2017 was too included in the Bankruptcy proceedings drawn against Respondent No. 2, which is alleged to have caused hardship to the Applicant / Appellant and prejudice too, because the Appellant claimed a right over the property and th