Mohan Reddy Bhumi Reddy Gari Vs STCI Finance Limited (NCLAT Delhi)
The appeal was filed under Section 61 of the Insolvency and Bankruptcy Code, 2016, challenging an order of the National Company Law Tribunal (NCLT), Mumbai dated 01.07.2025, by which IA No. 2341 of 2025 was dismissed. The appeal concerns DSK Southern Projects Pvt. Ltd., against whom insolvency proceedings were initiated on 09.12.2021. During the Corporate Insolvency Resolution Process (CIRP), a resolution plan submitted by a consortium of applicants was approved by the Committee of Creditors and later by the NCLT on 17.02.2023. Following the approval, the appellant became the Director of the Corporate Debtor.
Prior to the CIRP, the Directorate of Enforcement (ED) had issued a provisional attachment order dated 14.02.2019, attaching several properties of the Corporate Debtor, including 14 residential units in Mantri Pinnacle, Bengaluru. The appellant asserted that Flat No. 2402, located on the 24th floor and measuring 3,595 sq. ft., though mortgaged to the financial creditor, was not part of the ED’s attachment. The resolution plan contained provisions for payment of secured financial creditors amounting to Rs. 27.95 crore, including an initial payment of Rs. 8.34 crore within 90 days of approval and the balance after removal of ED’s attachment. The appellant deposited the first instalment as required.
