IN

Company Petition (IB) No. 201/KB/2021

Under section 60 (5) of the Insolvency and Bankruptcy Code, 2016 read

with Rule 11 of the National Company Law Tribunal Rules, 2016

IN THE MATTER OF:

Indian Bank

… Financial Creditor.

Verses

Reacon Engineers (India) Pvt.Ltd … Corporate Debtor.

And

In the matter of :

Mangalkari Asset Investment AIF

……Applicant

Verses

Mr. Sanjeev Jhujhunwala, Liquidator of Reacon Engineers (India)

Pvt Ltd.

…….Respondent

Date of Pronouncement: December 09, 2025.

CORAM:

SMT. BIDISHA BANERJEE, HON’BLE MEMBER (JUDICIAL)

SHRI CMDE SIDDHARTH MISHRA , HON’BLE MEMBER

(TECHNICAL) Appearance:

For the Applicant Neha Somani, PCS

IN Company Petition (IB) No. 201/KB/2021

ORDER

Per: Bidisha Banerjee, Member (Judicial):

1. This Court is congregated through a hybrid mode.

2. Learned Counsels for both parties were heard at length.

3. Facts in a nutshell

3.1 Indian Bank initiated CIRP against Reacon Engineers (India) Pvt. Ltd. through C.P. (IB) No. 201/KB/2021, which was admitted by the NCLT Kolkata Bench on 28 August 2023, and Mr. Pratim Bayal was appointed as the IRP. On the CoC’s decision in its 14th meeting held on 6 December 2024, the Resolution Professional filed I.A. (IBC)(LIQ)/30(KB)2024 seeking liquidation. The Tribunal, by order dated 17 December 2024, ordered liquidation and appointed Mr.

Sanjeev Jhunjhunwala as the Liquidator.

3.2 The Liquidator issued a public announcement on 22 December 2024 and, later, an e-auction notice dated 5 July 2025 to sell the Corporate Debtor as a going concern on an “as is where is” and “without recourse” basis. The Applicant participated, deposited Rs. 56,90,000 as EMD, completed due diligence, and in the e-auction held on 29 July

2025, offered Rs. 5,69,00,000 for Block-A as a going concern.

3.3 The Applicant was declared the successful bidder on 30 July 2025, received a Letter of Intent on 4 August 2025, and paid the full sale consideration within 30 days. A Sale Certificate was then issued in its favour.

3.4 The Applicant now seeks specific reliefs, waivers, concessions, and dispensations to operate the Corporate Debtor smoothly as a going concern, submitting that such reliefs are essential for viability, cause IN Company Petition (IB) No. 201/KB/2021 no prejudice to stakeholders, and are required to avoid irreparable loss and operational difficulties.

4. The following judgments would be relevant to quote in reliefs sought for:

a) Janvi Dixit vs. M/s Hi-Tech Services, I.A. No.

741 o f 2021 in C.P. (IB) No. 1319/MB/2017, Hon’ble National Company Law Tribunal, Mumbai Bench, Court No. – I (para. 6) held that extinguishment of past liabilities under a resolution plan does not affect the right of the corporate debtor (under new management) to pursue past receivables or continue related litigation.

b) Gaurav Jain V/s Sanjay Gupta – 2021 SCC Online NCLT 489, (para. 20, 25, 26, 28,29, 30, & 34) held that approval of a resolution plan results in extinguishment of past liabilities but does not bar the successful resolution applicant from recovering the corporate debtor’s receivables.

c) Nitin Jain, Liquidator of PSL Ltd. vs. Lucky Holdings Pvt. Ltd.

– 2021 SCC Online NCLT 3108 (para. 15, 29, 30, 36-42).

d) Jasamrit Designers Pvt.Ltd vs. Mr. Gian Chand Narang & Anr-

2023 SCC Online NCLAT 334 Paragraphs 10 and 11 which recognises the right of a successful bidder to seek reliefs and concessions.

e) Ghanashyam Mishra and Sons Pvt Ltd v Edelweiss Asset Reconstruction Company Ltd 2021 SCC OnLine SC 313 decided on 13.04.2021 on extinguishment of past liabilities of the Corporate Debtor.

5. The Hon’ble Apex Court in Ghanashyam Mishra (supra) has laid down the law in regard to the extinguishment of past liabilities of the Corporate Debtor once the resolution plan is approved. According to the Hon’ble Supreme Court, once a resolution plan has been duly approved by the Adjudicating Authority IN Company Petition (IB) No. 201/KB/2021 pursuant to section 31(1), the claims specified in the resolution plan shall stand frozen and be binding upon th