In re Alcob India Private Limited (NCLT Mumbai)
The petition was filed by M/s. Alcob India Private Limited under Section 10 of the Insolvency and Bankruptcy Code, 2016 (IBC) read with Rule 7 of the Insolvency and Bankruptcy (Application to Adjudicating Authority) Rules, 2016, seeking initiation of the Corporate Insolvency Resolution Process (CIRP) against itself. The Corporate Applicant stated that due to financial stress it was unable to repay its debts to creditors.
The Corporate Applicant was incorporated on 26.07.2004 with Corporate Identity Number U45200PN2004PTC141210 and has its registered office in Pune, Maharashtra. It is a private company limited by shares engaged in the manufacturing of glass and allied goods. The company has an authorized share capital of Rs. 3,00,00,000 and a paid-up share capital of Rs. 1,13,16,660.
The company had obtained financial assistance in the form of working capital term loans, term loans, COVID emergency line credit facilities, hand loans, and unsecured credit facilities from known persons. In addition, operational debt had arisen from trade-related payments. The Corporate Applicant submitted that it had been incurring losses since the onset of the COVID-19 pandemic and had become unable to discharge its liabilities.
The company’s loan account was classified as a Non-Performing Asset (NPA) by Bank of Maharashtra on 31.03.2021. Subsequently, the bank issued a demand notice under Section 13(2) of the SARFAESI Act, 2002 on 07.12.2021. The Corporate Debtor later proposed a One Time Settlement (OTS) for its outstanding liability to the bank. The applicant also stated that it had received assessment orders from the Employees’ Provident Fund Organisation (EPFO) and the GST Department, along with other government dues and operational debts.
