Provident fund and gratuity dues are statutory obligations that must be paid in full by a Successful Resolution Applicant notwithstanding the approval of a Resolution Plan, as these dues are excluded from the liquidation estate and are not subject to the commercial wisdom of the Committee of Creditors.

siva

S.No.3

ATTENDANCE CUM ORDER SHEET OF THE HEARING HELD ON 16-04-2026 AT 12:45 PM

u/s. 9 of IBC, 2016

O R D E R

IA(IBC) 1427/2024

Present: Mr. Vijay Singh, Learned Counsel for the Applicant/SRA.

Mr. MP Kashyap, Learned Counsel for the Respondent/EPFO.

Orders pronounced, recorded vide separate sheets.

In the result, this application is dismissed.

IA (IBC) 1997/2025 in IA 1198/2022

Present: Mr. MP Kashyap, Learned Counsel for the Applicant/EPFO.

Mr. Vijay Singh, Learned Counsel for the Respondent.

Orders pronounced, recorded vide separate sheets.

In the result, this application is disposed of.

IN THE NATIONAL COMPANY LAW TRIBUNAL

HYDERABAD BENCH – I, HYDERABAD

I.A. No. 1997 of 2025

In

I.A. No. 1198 of 2022

In

CP (IB) No. 17/9/HDB/2020

Between:

Employee Provident Fund Organization

Through Recovery Officer,

Regional Office, Ballari,

"Bhavishya Nidhi Bhavan",

Main Road, 2nd Stage, Raghavendra Colony,

Ballari 583 101, Karnataka.

Email: ro.bellary@epfindia.gov.in ... Applicant

AND

1. The Liquidator (Sri. Bhuvan Madan)

M/s. Sathavahana Ispath Limited

(Under Liquidation)

A-103, Ashok Vihar, Phase-III, Delhi 110 052.

Email: CIRP.BM.SIL@GMAIL.COM

2. Sathavahana lspath Ltd.

Kurugodu Road, Ballari 583 115 & having

Regd. Office at: Flat 505, 5th Floor, Block-I,

Divyashakti Complex, Ameerpct,

Hyderabad 500 016, Telangana …Respondent/s

In the Matter of:

Thirumala Logistics Pvt: Ltd. ... Operational Creditor

Versus

Satavahana Ispat Ltd. ... Corporate Debtor

Date of Order: 16.04.2026

CORAM:-

SH. RAJEEV BHARDWAJ, HON’BLE MEMBER (JUDICIAL)

SH. SANJAY PURI, HON’BLE MEMBER (TECHNICAL)

Counsels:

For the Applicant: Mr. MP Kashyap, Advocate

For the Respondent: Mr. Vijay Singh, Advocate

ORDER

1. This application is filed by the Applicant under Rule 11 of the NCLT Rules, 2016 , seeking suspension of the operation of the Order dated 31.03.2023 in I.A. No. 1198 of 2022 in CP (IB) No. l7/9/HDB/2020 which was passed by this Hon'ble Tribunal.

Brief facts of the Application:

2. It is submitted that the Corporate Debtor has filed the Insolvency petition before this Tribunal, pursuant to which the Respondent issued a Public Announcement inviting claims pending against the Corporate Debtor on or before 19.08.2021.

3. The Applicant submitted its provisional claim in Form-F vide No. KN/PF/RO/BLR/RRC/28287/103/2021-22 amounting to Rs. 1,60,49,812/- on 30.08.2021, followed by final claim in Form-F vide No. KN/PF/RO/BLR/ENF/28287/1249/2021-22 dated 18.02.2022 amounting to Rs. 2,28,24,155/-¹.

4. It is submitted by the Applicant that although the claim has been admitted in full to the extent of Rs. 2,28,24,155/- under the Resolution Plan approved by this Tribunal, only a sum of ₹97,69,149/- has been paid, leaving a balance amount of ₹1,30,55,006/- outstanding.

5. The Applicant further submits that the Order dated 31.03.2023 passed in I.A. No. 1198 of 2022 in CP (IB) No. 17/9/HDB/2020, along with the clarification dated 07.06.2023² issued by the Resolution Professional, erroneously classifies Provident Fund dues as Operational Debt. In terms of Section 36(4)(a)(i) of the IBC, Provident Fund dues are excluded from the liquidation estate and are not subject to the waterfall mechanism under Section 53, and therefore are required to be paid in full.

6. Applicant submits that it was neither impleaded nor given an opportunity to present its claim before the Resolution Professional or this Tribunal. The Resolution Professional communicated with the Applicant only in June 2023, after approval of the Resolution Plan, by which time the claim had already been partially admitted and wrongly categorized as Oper