IN THE NATIONAL COMPANY LAW TRIBUNAL

NEW DELHI BENCH, COURT-V

COMPANY PETITION NO. (IB)-730/ND/2022

Order under Section 7 of the Insolvency and Bankruptcy Code, 2016 and Rule 4 of the Insolvency and Bankruptcy (Application to Adjudicating Authority),

Rules, 2016.

IN THE MATTER OF:

1. SUNIL MUDGAL

S/o J. R. Mudgal ...Petitioner No. 1 (Financial Creditor)

2. POOJA RANJAN

D/o Lt. Col M.R. Prasad …Petitioner No. 2 (Financial Creditor)

Both residing at: V-07, . Pearl Marjorie, 141/1-2, Varthur Main Road, C V

Raman Nagar, Bengaluru –

560 093 VERSUS

M/s S AND N LIFESTYLE INFRAVENTURES

PVT. LTD.,

Having its registered office at: G-40, Ground Floor,

Gaurav Apartments, Saket,

New Delhi – 110 017. …Respondent/Corporate Debtor

Order Pronounced on: 22.03.2024

CORAM

SHRI MAHENDRA KHANDELWAL, HON’BLE MEMBER (JUDICIAL)

SHRI RAHUL BHATNAGAR, HON’BLE MEMBER (TECHNICAL)

PRESENT For the Applicant : Ms. Neha Mathen, Adv For the Respondent : Mr. Arun Saxena, Ms. Nalini, Advs.

ORDER

PER: RAHUL BHATNAGAR, MEMBER (TECHNICAL)

1. The instant application is filed by Mr. Sunil Mudgal S/o J. R. Mudgal and Mrs. Pooja Ranjan D/o Lt. Col M.R. Prasad (hereinafter referred as ‘Petitioners/Financial Creditors/Applicants’) both residing at V-07, Pearl Marjorie, 141/1-2, Varthur Main Road, C V Raman Nagar, Bengaluru – 560093 under Section 7 of the Insolvency and Bankruptcy Code, 2016 (for brevity ‘the Code/IBC’) read with rule 4 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016 (for brevity ‘the Rules’) with a prayer to initiate Corporate Insolvency Resolution Process against M/s S and N Lifestyle Infraventures Pvt. Ltd, (for brevity "Corporate Debtor/Respondent").

2. The Respondent Company M/s. S and N Lifestyle Infraventures Pvt. Ltd, (CIN No. U45200DL2008PTC182273) was incorporated on 21.08.2008 under the provisions of the erstwhile Companies Act, 1956 having its registered office situated at G-40, Ground Floor, Gaurav Apartment, SFS DDA Flats, Saket, New Delhi 110017. Since the registered office of the respondent corporate debtor is in New Delhi, this Tribunal which has territorial jurisdiction over the NCT of Delhi is the Adjudicating Authority in relation to the prayer for initiation of Corporate Insolvency Resolution Process in respect of respondent corporate debtor under subsection (1) of Section 60 of the Code.

Averments of the Applicants:

3. The details of transactions leading to the filing of this petition as averred are as follows: -

a) Applicants submitted that the Petitioners herein became aware that the Respondent was contemplating the development of Group Housing Project at The Highlands – “Aures Valley” at village Challang, Rajpur Road, Dehradun, Uttrakhand (for brevity ‘Project’). Pursuant to the representations of the Respondent and its reputation as an accomplished construction company, the Petitioners and the Respondent entered into a Memorandum of Understanding (‘MoU’) dated 1 November 2014, whereunder the Petitioners invested a total sum of INR 1,00,00,000/- (Rupees One Crore only) in the Project as consideration for the time value of their money.

b) Applicants further submitted that as per Clause 6 of the MoU, the investment made by the Petitioners was to remain ‘locked-in’ for a period of four years (i.e., upto 1 November 2018). Thereafter, upon completion of the lock-in period, as per Clause 7 of the MoU, the Petitioners were unconditionally guaranteed payment of a minimum amount of INR 2,00,00,000/- (Rupees Two Crores only) as a return for the time value of money advanced by the Petitioners to the Respondent. Further, Clause 8 of the MoU provided that in the event that the Respondent was not able to pay the guaranteed amount of INR 2,00,00,000/- (Rupees Two Crores only) to the Petitioners, the Respondent would transfer a parcel of land of 800 sq. meters bearing khasra number 744 Kha in Village Challang, owned by it and its Director to the Petitioners.

c) Further the Applicant submitted that on 18 April 2017, the Petitioners receiv