PRONOUNCEMENT OF ORDER

Delivered on 13/05/2026

The case is fixed for pronouncement of the order.

The order is pronounced in open Court vide separate sheet.

1. The present application bearing I.A (I.B.C)/2(MP)2026 has been filed by the Employees' Provident Fund Organisation ("EPFO"), through the Regional Provident Fund Commissioner-II, Regional Office Gwalior, under Section 60(5) of the Insolvency and Bankruptcy Code, 2016 ("IBC") read with Rule 11 of the National Company Law Tribunal Rules, 2016, seeking impleadment as a necessary party in I.A. No. 449 of 2025, which is the Interlocutory Application filed by M/s Agrifriend Ventures LLP ("the Respondent"/"Auction Purchaser") seeking various reliefs and concessions arising out of the liquidation proceedings of the Corporate Debtor, M/s STL Exports Pvt. Ltd. (hereinafter "the Corporate Debtor").

2. The Corporate Debtor was ordered to be liquidated by this Tribunal vide Order dated 11.08.2023 in I.A. No. IA/186(MP)2021 in TP 174/2019 [CP(IB)/426/2018]. The Corporate Debtor was subsequently sold as a going concern to M/s Agrifriend Ventures LLP by way of asset sale in liquidation proceedings, whereupon the Respondent filed I.A. No. 449 of 2025 seeking reliefs and concessions arising from the said liquidation sale.

3. The Applicant – EPFO – prays that this Hon'ble Tribunal may be pleased to:

a. Allow the present application and implead the EPFO, through the Regional Provident Fund Commissioner, Regional Office Gwalior, as a necessary party in I.A. No. 449 (MP) of 2025;

b. Permit the EPFO to file its Reply and make submissions on merits in I.A. No. 449 (MP) of 2025; and

c. Pass such other or further orders as this Hon'ble Tribunal may deem fit and proper in the interest of justice.

PLEADINGS OF THE APPLICANT (EPFO)

4. The Applicant – EPFO – has, inter alia, submitted as follows:

4.1 The EPFO is governed by the Employees' Provident Funds and Miscellaneous Provisions Act, 1952 ("EPF Act"). The Corporate Debtor is an establishment covered under the EPF Act bearing Code No. MP/GWL/0010922000. The Corporate Debtor committed default in remitting Provident Fund and allied dues for the period May 1996 to November 2024. The EPFO, in exercise of its statutory powers, assessed and quantified PF and allied dues at Rs. 44,10,204/-, and recovery proceedings were initiated accordingly.

4.2 The Office of the Recovery Officer, EPFO, Regional Office Gwalior, issued a notice dated 20.11.2025 under Section 17-B of the EPF Act calling upon the Auction Purchaser/Respondent to discharge the aforesaid PF dues, as the establishment of the Corporate Debtor stood transferred by way of liquidation sale. Section 17-B fastens joint and several liability upon the original employer and the transferee of the establishment for contributions and other sums due for the period up to the date of transfer.

4.3 During the hearing of I.A. No. 449 of 2025, the EPFO raised a categorical objection that it is a necessary party, and vide Orders dated 04.11.2025 and 26.11.2025, this Tribunal was pleased to grant liberty to the EPFO to move an appropriate application for impleadment.

4.4 PF dues do not constitute assets of the Corporate Debtor during CIRP or liquidation, but are statutory trust monies belonging to employees, held by the employer in a fiduciary capacity. Under the IBC's own framework:

(i) Section 36(4)(a)(iii) IBC expressly excludes all sums due to any workman or employee from the provident fund, pension fund and gratuity fund from the liquidation estate, mandating that such sums shall not be used for recovery in liquidation.

(ii) Explanation to Section 18 IBC excludes from the definition of "assets" any assets owned by a third party and held in trust by the Corporate Debtor — PF contributions, including the employer's contribution, fall squarely within this exclusion.

(iii) Section 155(2) IBC similarly excludes all sums due to workmen or employees from PF, pension fund and gratuity from the estate of the bankrupt.