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NCLT Bengaluru Orders Dissolution of Under Section 54 IBC
The has ordered the dissolution of , a joint venture between engineering firm and defence PSU , after concluding that the company’s liquidation process was fully completed. The bench, comprising Judicial Member Shri Sunil Kumar Aggarwal and Technical Member Shri Radhakrishna Sreepada , passed the order on , bringing the to a formal close.
A , Then Liquidation
Infotech HAL, incorporated in to undertake aero-engine service work, had itself filed for insolvency under . The NCLT admitted the petition in and appointed as the , who was later confirmed as the .
During the , the decided that the company was not viable for revival and opted for liquidation. In , the NCLT ordered the liquidation of Infotech HAL and appointed Mr. Gopu as the .
The Liquidation Process
In compliance with the IBC, the issued a in newspapers— Financial Express (English) and Sanjevani (Kannada)—on , inviting claims from stakeholders. The last date for submission was . The also notified statutory authorities, including the and the .
A was formed on , consisting of six members with totaling ₹1,01,59,353. Notably, the EPFO and any related parties were excluded from voting in the SCC as per the IBC provisions.
The company’s only were cash in bank accounts. At the commencement of liquidation, the total funds available stood at ₹12,43,849.91, largely from current account balances and a small income tax refund. Fixed deposits were liquidated, bringing the total to ₹15,04,628.91. Since there were no significant tangible or intangible assets, the proceeded to distribute proceeds to the EPFO (provident fund dues of ₹10,84,635) and to other stakeholders as per , with and being nil.
Final Steps and Dissolution
The SCC, at its meeting on , approved the closure of the liquidation process and authorised the to file an application for dissolution. The final report and were submitted to the and the on .
The NCLT, after examining the records, found that all had been dealt with and the affairs of the corporate debtor were . In its order, the bench observed:
“On examination of the submissions and documents placed on record, it is evident that the affairs of the Corporate Debtor have been and all realizable assets have been dealt with in accordance with the provisions of the Code.”
The Tribunal allowed the dissolution application under and ordered the dissolution of .
Compliance and Directions
The bench directed the to inform the Income Tax and GST Departments about the dissolution and to surrender the company’s PAN and GSTIN. It clarified that the dissolution order would not affect the rights of creditors against erstwhile directors, guarantors, or other relevant persons. The was discharged from his duties, and the order was to be sent to the ROC Bengaluru and the IBBI within fourteen days.
The matter was disposed of with the file consigned to the record room.
