In the matter of Sri Janardhana Credits Limited

IN THE NATIONAL COMPANY LAW TRIBUNAL DIVISION BENCH–I, CHENNAI ATTENDANCE CUM ORDER SHEET OF THE HEARING HELD ON 11.06.2024 THROUGH VIDEO CONFERENCING PRESENT: HON’BLE SHRI. SANJIV JAIN, MEMBER (JUDICIAL) HON’BLE SHRI. VENKATARAMAN SUBRAMANIAM, MEMBER (TECHNICAL) APPLICATION NUMBER : PETITION NUMBER : CP(IB)/97/CHE/2024 NAME OF THE PETITIONER(S) : Liquidator of M/s Sri Janardhana Credits Limited NAME OF THE RESPONDENT(S) : UNDER SECTION : Sec 59 of IBC, 2016

ORDER Present: Shri. Arvind Rajagopal, Ld. Counsel for the Liquidator.

Vide separate order pronounced in Open Court, the petition is allowed. The company Sri. Janardhana Credits Limited is dissolved.

File be consigned to records.

Sd/- Sd/- VENKATARAMAN SUBRAMANIAM SANJIV JAIN MEMBER (TECHNICAL) MEMBER (JUDICIAL) VS

DIVISION BENCH – I, CHENNAI CP(IB)/97(CHE)/2024 (Filed under Sec. 59(7) of the Insolvency and Bankruptcy Code, 2016) In the matter of Sri Janardhana Credits Limited Venkatesh Natarajan IBBI/IPA-001/IP-P-02315/2021-22/13572 Voluntary Liquidator of Sri Janardhana Credits Limited Add.119, Co-opeartive Colony, Uppilipalayam Post, Coimbatore – 641 015 … Applicant Present: For Applicant : Arvind Rajagopal, Advocate Order Pronounced on 11th June 2024 CORAM: SANJIV JAIN, MEMBER (JUDICIAL) VENKATARAMAN SUBRAMANIAM, MEMBER (TECHNICAL) O R D E R (Hearing Conducted through Hybrid Mode) This is a Company Petition filed by the Liquidator of Sri

Janardhana Credits Limited with CIN: U65992TZ1988PLC002174 under Section 59(7) of the Insolvency and Bankruptcy Code, 2016 (hereinafter referred to as “IBC, 2016”) seeking dissolution of the Company.

CP(IB)/97(CHE)/2024 Sri Janardhana Credits Limited

2. The Company was incorporated on 23.05.1988 under the Companies Act, 1956 having its Registered Office at No.2195, 1st Floor,

Trichy Road, Singanallur, Coimbatore – 641 005 with Authorized

Capital of Rs.2,10,00,000/- divided into 2,10,000 Equity Shares of Rs.100/- each and paid up capital is 2,00,02,000. The main object of the Company was to carry on and undertake business as financiers to finance operation of all kinds such as managing, purchasing, selling, hiring, letting on hire, hire purchase financing and dealing in all kinds of movable and immovable property including land. Building, machinery, computer, all kinds of vehicles, automobiles, consumer durables, gold jewelleries and ornaments, jewelleries made out of all kinds of precious and semi-precious metals, precious stones, gems and other related items etc. Details of the main objects of the company are set out in the Memorandum of Association which is filed along with the typed set.

3. It is stated that Board of Directors in the meeting dated 25.03.2023, passed a Resolution for voluntary liquidation of the company under

Section 59 of the IBC that the company is not carrying out any business.

CP(IB)/97(CHE)/2024 Sri Janardhana Credits Limited

4. It is stated that the NBFC license of the Corporate Person was cancelled by the RBI after an inspection conducted vide its order in DoS/CHe No. 933/13.23.621/2019-20 dated 11.06.2020. After this, the directors decided to close the operations of the company in accordance with applicable laws as the Corporate Person was not carrying any business from thereon and not earning any profits. The Copy of the order of RBI is attached as Annexure 2 of the petition typeset.

5. It is stated that in the Extra-ordinary General Meeting held on 07.04.2023, shareholders approved to appoint the Applicant to act the Liquidator to conduct the voluntary liquidation process of the Company.

6. It is stated that the Liquidator received no claim form other than from the 10 shareholders of the Corporate Person, and hence the company had no other creditors or term liabilities. The claims received from the shareholders are as follows:

CP(IB)/97(CHE)/2024 Sri Janardhana Credits Limited

CP(IB)/97(CHE)/2024 Sri Janardhana Credits Limited

7. It is stated that the company has no assets other than cash deposit with the Bank. Hence, the applicant has seen no requirement for valuation to be done nor any valuers to be appointed.

8. It is stated that the shareholders of the Corporate Person with their voting percentage are as detailed below:

9. It is stated that the Applicant had distributed the assets (cash)

available with the Corporate Person. The statement of accounts for the same is annexed as Annexure- 10 of the Company Petition typeset.

CP(IB)/97(CHE)/2024 Sri Janardhana Credits Limited

10. It is stated that after due distribution of assets with the Shareholders of the Corporate Person, the Applicant Liquidator obtained an Auditor's

Certificate for the Receipts & Payments during the liquidation period, since the liquidation commencement date. The same is annexed as Annexure 11 of the company petition typeset.

11. It is submitted that the Applicant has conducted the voluntary liquidation process in respect of the Company in accordance with the compliance of IBBI (Voluntary Process) Regulations, 2017. Details of relevant compliances as mandated under Section 59 of IBC r/w IBBI

Regulations, 2017 are as below:

S.NO COMPLIANCE AVERMENTS PAGE NO. IN THE APPLICATION Board Meeting dated 25.03.2023 Para 3 of the 1 Sec. 59 (3) Application Audited Financial Statements for the Financial Year 2020-2021 and 2 Sec. 59 (3) 38-104 2021-2022 Sec 59 (3) (c) EGM dated 07.04.2023 3 And Reg 3 (1)(c) 108-118

Section 59 (4) and Declaration of solvency GNL-2 4 Reg 3 (2) 105-107

Special Resolution for voluntary Section 59 (4) and 5 liquidation vide form MGT-14 113-118 Reg 3

CP(IB)/97(CHE)/2024 Sri Janardhana Credits Limited

Form-A Public Announcement in newspapers dated 07.12.2022 and 6 Regulation 14 08.04.2023 in “Indian Express” 119-120 (English) & “Dina Malar” (Tamil) Intimation to Income Tax Section 178 of IT department and other statutory 7 121 Act, 1961 authorities on 03.05.2023 Filing of Preliminary Report 8 Reg 9 dated 20.05.2023 123-144 Opening of Bank Account in the name of the Company followed Para 10 of the 9 Reg 34 by the words in liquidation in application “Karur Vysya Bank ” Closure of liquidation bank 165 10 Reg 34 account in Karur Vysya Bank Filing of Final Report dated 11 Reg 38 15.01.2024 148-164 Final Report in GNL-2 filed with 12 Reg 38 the ROC 159-160 Submission of Final Report to IBBI on 13 Reg 38 161 19.02.2023 Form-H (Compliance Certificate) 14 Reg 38 166-174

12. Further, it is stated that after making various payments including liquidation costs as per the provisions of Section 53(1) of IBC, 2016, the Liquidator has realised and distributed the funds among the shareholders as detailed below:

CP(IB)/97(CHE)/2024 Sri Janardhana Credits Limited

Realization:

CP(IB)/97(CHE)/2024 Sri Janardhana Credits Limited

Distribution:

CP(IB)/97(CHE)/2024 Sri Janardhana Credits Limited

13. Thus on examining the submissions made by Learned Counsel for the Applicant and after perusing the documents annexed to the petition, it appears that the affairs of the Company have been completely wound up and the assets of the Company have been completely liquidated and as such the Company deserves to be dissolved. Accordingly, in exercise of the powers conferred under Section 59(8) of the IBC, 2016, we hereby order the dissolution of Sri Janardhana Credits Limited. The Company shall stand dissolved from the date of this order. Accordingly, the Company Petition stands allowed.

14. The Registry and Liquidator are directed to serve a copy of this order upon Registrar of Companies, concerned and also to IBBI within

14 days from the date of this order.

-Sd- -Sd- VENKATARAMAN SUBRAMANIAM SANJIV JAIN MEMBER (TECHNICAL) MEMBER (JUDICIAL)

SriramAnanth.V

CP(IB)/97(CHE)/2024 Sri Janardhana Credits Limited