SREI Equipment Finance Limited Vs Worlds Window Wardha Infrastructure Private Limited (NCLT Delhi)
SREI Equipment Finance Limited (“Financial Creditor” or FC) filed an application before the National Company Law Tribunal (NCLT), Delhi, against Worlds Window Wardha Infrastructure Private Limited (“Corporate Debtor” or CD) seeking initiation of the Corporate Insolvency Resolution Process (CIRP) under Section 7 of the Insolvency and Bankruptcy Code, 2016 (IBC). The FC claimed that the CD had defaulted on repayment of financial debt totaling ₹9,97,27,223, which included principal, interest, penal interest, and other charges.
The parties had entered into a Common Loan Agreement dated 30.12.2019, under which a term loan of ₹20 crores was sanctioned. The first disbursement of ₹5 crores was made on 02.01.2020. Security for the loan was created through a hypothecation deed over the CD’s movable and immovable assets and a personal guarantee by promoter Mr. Piyoosh Goyal. The charge was registered with the Registrar of Companies (RoC) on 24.06.2020. The loan terms stipulated that principal would be payable in a bullet installment at the end of four years, while interest was compounded monthly and payable quarterly. The agreement also allowed for penal interest and acceleration of the entire loan on default.
The CD failed to make payments after the section 10A “blackout” period, prompting the FC to issue a demand notice on 17.11.2023 for ₹4,88,23,683, representing the amount due as of 08.11.2023, with a seven-day deadline. The CD neither responded nor made any payments. Consequently, the FC filed the Section 7 application on 13.03.2024. The defaulted amounts included principal of ₹5 crores, accrued interest of ₹9,03,540, overdue charges of ₹1,79,19,768, and other amounts totaling ₹9,97,27,223.
