In the matter of Sunpoint Trading Limited

AEDEE (Hvbrid tvtode) The case is frxed for pronouncemenr ot order The order is profolnced in lhe open cou'1 vide sepa.ate sheet. -rd- -L \ snt.reev sxanua KI]AN MEMBER ITECHNICAL) MEMBER (JUDtCIAL)

BDFORE TtIE ADJUDICATING AUTHORITY NATIONAL COMPANY LAW TRIEUNAL DIVISION BENCH. COURT I, AHMEDABAD IA(Plafl)/o4(AHM)2O2s IN c.P. ltBl / 149 / 7 / lLIdMl2O2 4 IAlPlanlO4lAHMl2O2S (An AppLication under Sectio/L 30 r/u Section 31 of the of I/tsotuencll and Bankruptcg Code, 2A16 for approutxL the In thc mattcr of: Stnpontt a/dding Litnlte.l Ms. Gomti RamchandrE choudhary l<csolution Pro{cssional of Sunpoint ]'rading Limitcd Having otficc ati 9U, Vddd CompLcx, Nr. Vimal Ilousc, Lakhudi Circlc, Navrangpura, Ahmcdabad 38006l. ... Rcsolution Prolcss;onal /Applicanl Ordct Pronounccd Ont29.Oa.2O2s coR SH. SHAMMI KIIAN, IION'BLE MEIIBER (JUDICIAL] SH. SANJEEV S}I{RMA. HON'BLE MDMBER (TECHNICAL] APPEARANCE: lor rh. AppLi.anrlRP Mr. Atul Sharma, Advocatc a.w. Mr. Jigar Shah, CA & Ms. Gomti Choudhary, RP Mr. Saqiay Dubey, Adv.

4

ORDER Bcnchl lPcr: l. The instat appUcation bejng IAI04(AHM)2O25 js filed on o7.O2.2O25 vidc diary no. EOO4lS by the Applicant/Rcsolution Profcssional (Ms. Gomti Ramchandra Choudhary) of thc Corporate Debtor - Sunpojnt Trading Limilcd undcr Scctions 30 dd 3l ol the Insolvency md Bakmptcy Code, 2016 (for short'Code"), read with Rcgulation 39(4) of Lhc IBBI (Insotvcncy Proccss ol Corporatc Pcrsons) Rceulations,2016 seeks thc following vour Lot.lship q) be pleased to adnn ahd allo|| the ' prcsent anended R6ol ian Pl@ apPrcwl apPlication: vout Lordship hay be pleased to aprove the Resolutiah Plah .lated 18.(t6.2A24 tubnitad by M/s. CaPvital ,1.lrhors Private Linited jaihtty vith l4r. Ka$hik he Hasnukhlal Gondhi as apprcved by the be6 ol CoC b) tA1% yotihg Sharc ik its sth CoC heeti E dated 06.01.2025 in the natet oI M/s. SrhPoint Tra.ling rcliefat YaM t-otulship hay be pleased lo srant aay othet retief as nq deeh fu ih the ligh^ of the facts and c i rc ttus tanc es oF t he c as e., FACTS 2. Relcvdl facts as availablc in thc Plan Application are summarizcd bclow: 1,/ r^/(P NcPiR)r4eoFr0z )o4/1AHMPozs ri rhe materor sunooinlrlallngtim!!c!

It is statcd thal this Tribunal vide its order daled l 29.Oa.2O24 ('Admission Ordcr') passed in CP (IB) No. 149 of 2024 was pleased to injtiatc CIRP of thc Corporatc Dcbtor and was furthd pleascd to appoint the apPlicant as thc Intcrim Rcsolution Proiessionar (IRP) ol the Comoratc Dcbtor. A copy of thc admission order dared 29.08-2024 passed in CP llB) No. 149 o12024 is snnexed as ANNEXURE A ofthe Apptication. It is submittcd that the IRP had madc public announccment as contemplatcd undcr thc section 15 of thc Codc on 3r.Oa.2O24 in thc newspaper ie., Busincss standard (Enslish), Fjnancia.l Express (Gujarati) aJId subscqucn y, invitcd claims from atl the cr€ditors. Thal thc IRP collatud all thc claims rcccivcd from all thc crcditors ol thc Coryoratc Dcbtor till 14.09.2024 i-e.' last datc oI submission of claim as pff Form A and ftrrthcr constitutcd Committce of Cr.ditor ('CoC) and lurthcr submirtcd report certillng lhe constitution of CoC beforc this Tribunal on 21.O9.2024. The IRP has made publication of Annual Gencral Meeting J noticc on o3.Oo 2024 ifl the neuspaper i.c.. fAG\4 Business standard (Enslish), Financial Express (Gujarati) as pcr thc provision of Companies Act, 2013 which was held on 27.09.2024 at 4:00 PM at the registered office oI thc Corporatc Debtor.

In tlrc said AGM, agenda pertainirg 1() thc re appointment of Statulory Auditor as weli as 4 Managing Director wcrc discussed and further changc in A/lP an)oal{ANM)2o1s lN cPllB) 1a9 oF 2024 dcsignation ol lndcpendcnt Direclor to non-cxeculive non indcpenclcnt Dircctor werc also discusscd. A copy ol the of publication Annual Gcncral Meeting notice dated 03.09.2024 along with minutcs of AGM dated 27.O9.2o24 is anncxcd at ANNEXURE C COLLY to thc application. Thc IRP duLy convcncd thc l meeting of CoC on 2n.O9.2O24 whcrein the IRP appriscd thc memberc of CoC about progrcss made afrcr lhc initiation of CIRP of the Corporatc Dcbior. 1n thc said mccting, thc membcr of CoC inrcr aLia approvcd thc following rcsolutlons: a. Appointmcnt oI thc IRP as Rcsolution Prolcssional (RP) of thc corporat. Deblor. b. Inirjation ol lhc EOI proccss and to fix thc crilcia undc. s.ction 2s(2)(h) ol thc codc. c. Rcduction in thc noticc pcriod lrom 5 days to 24 hours. V. Pursuant 10 thc rcsolution passed in the 1$ CoC meetinC daLcd 2A.O9.2O24, IRP has duly published the Exprcssion oI Intcrcst (EOIJ in prescribed Form G on O1.1O.2O24 whcrcin t}le last date ofrcceivjng EOI was 16-10-2024.

Vl. Thc RP duly convened thc 2nd mccring of CoC on 21.rO.2O24 whcrcin thc mcmbers of CoC inter alia rcsolvcd to approve thc Evaluation matrir( as defined 11) under Regulation 2(HA) of thc IBBI (CIRP") Regulations, 2Ol6; (2) draJt Request for Resolutio" Plar ('RFRI'). !I The IiP duly convcncd lhc 3d mccting of CoC on 22.11.2024 whcrcin thc mcmbors ol CoC discussed the valuation mcthodology adoptcd by thc valuers appointcd 1./ :n)oali^HM)2025 rN cP1 B) rae of 202a ^i /{rPh -Am lerorr sunpoinrrradins rimjtld for th. purposc ol valuation oi Sccu.itics md F'inancial Asscts (SFA ) catcgory. In rhc said mc.ling, thc RP appriscd thc mcmbcrs of CoC aboDl 4 EOIS received from following PRAS: I .1..r rli:,1 S.rer: l\r\,1, i ,r1,1 ll rl .l ' l lli!l ,:,lir !l,fr !':(r:. |, rll 4r I cap\ibl Adviso s lt.\6te l.'n'red roinr'y ]l2rr.hll< II2sn,kh.l (l...lhl VIII. Th. RP duly convencd thc 46 meeting of CoC on 30.11 .2024 wherein t}le RP apprised the members oI CoC that out of 4 PRAS, only 2 PRAS havc submitted their Rcsolution Plans. In thc said mceting, the membcrs ofCoC discusscd thc fcasibility md viabjlity of Resolution Plds submittcd by thc PRA i.c., Capvital Advisors Privatc Limitcd joinUy with Mr. Kaushik Hasmukhlal Gandhi.

Furlicr, thc mcmbers of CoC jntcr alia rcquested the PRA to considcr the changes in thc distribution amount offered to credirors in t}Ie Resolution Plan. ]T Thc RP duly convcncd thc Sth meeting of membcrs of CoC on 06.01.2025 whcrcby RP apprised thc mcmbcrs of CoC about rccoipt of about two Rcsolution Plans i.c., (I) Capvital Advisors Povatc Limitcd and (2) Mr. Mmish Bip;n.ha.dra Dalokiya. At thc Lime oi submission of Final Resolution Plan, Mr. Mdish Bipinchandra Dalokiya cxprcsscd his wjlLingncss to w;thdrav thc plan Lhrough its cmail and furthcr rcfund ol EMD amount. 'lhat in the said <-/ meeting, RP apprised that onc final Resolution Plan has been receivcd from M/s. Capvitat Advisors Private Limited jointly with M.. Kaushik Hasmukhlal Gandhi That in the said rnccdng, the CoC members had discussion on fcasibilily and viability oi thc final enhanccd Resotution Plan. That in thc sajd mectire, the members of CoC inter atia approvcd the Rcsolution Plan of M/s. Capvjtal jointly with Mr. Advisors t'rivale Limitcd Kaushjk Hasmukhlal Gandhi by 100% voting share. Thc Rcsolution Plan submitled by of M/s. Capvital Advisors Privatc Linited jointly wjth Mr. Kaushik Hasmukhlal Gandhi ('SRA) camc to be approved by the membcrs o, CoC by I00% voting sharc A copy oI the Resolution Plan dated 20.12.2024 submitted bv *re SRA was anncxcd at ANNEXURE J (Pages 13O to 194) of the Thc paymcnl structure in Resolution Plan dated 2012.2024 by M/s. Capvital Advisors hivate Limited jointly wjth Mr. Kaushik Hasmul<hlal Gandhi is e)'lracted hercin bclow Io, kind pcrusal:

<.'l rA/lPtrnloa/IAFM)2025rNcPi 3)149or2024 rn th. ddter or, sunDointTradine rimlied

-,*-"-. I"a l

. .ri rr,a! .

r:i.: Lirl Wdknln, Employ€eg 2,3t,73,C00 '- Tot Pdyoui

Parl Ar Cost of Corporate Insolwency Resolution Process ICIRP). Dstimatcd ClltP Cost as provid.d by the RP is Rs. I5,0O,000/ Th. Rcsolurion Applicant proposes to pav. th. unpaid CIRP cost as on the datc ot approval of jn Rcsohrtion Plan by th. IIon blc NCLT ToP Prioritv. . Thc ]tcsolution Applicant furthcr submit that in case CIRI']cost cxcccd thc amounl offcrcd in thc resolulion plan. thc R shalt cnsurc that such cxccss CIRP cost is also paid jn priority lo any othcr pavment from the amounl paid to thc unsccurcd Financial Crcditors. Conscqucntly, thc proposcd amount allocated to thc unsccurcd Finmcinl Crcditors shall bc adjustcd proportionatly to account tor such exc.ss .osts. . Thc Rcsolulion Applicant slate that the CIRP Cost shall be pa.id in priorily to any other pavment 10 other <-t A/(pr )04/1^HMP0r5 NcPr B)14eoF'o24 fr nthc 1.4of:sunDoinrI6dingLimitcc

Pan I} Proposal for Unsecured Fiaarcial Creditors (other than Financial creditors belonging to cleditors l 1.,16 59 549 1,46,59,589

. As pcr thc List oI Crcditors available as on 2A.O9.2O24 providcd only for Unsccurcd Fjna.ncial Crcdilors lorhcr thalr Financiai Creditors bclonsine to in a by thc Crcdjlors CLass) Resolution Profcssional, thc Rcsolutioll Applicanr undcrstands that rhc claim submiucd by Unsccured Finecial Crcditors (Othcr rhan Financial Crcditors bclonging lo Crcditors in a Class) amounts to Rs 1,'16,59,589 our of which claims aagrcgaring to Rs 1,46,59,589 havc bocn admirtcd by thc Rcsolulion Professional. . 'lhc paymcnt to lhc unsecurcd financial creditors cxccpt dy payncnr to rclatcd party shall bc distribut.d as dccidcd by thc RP jn consullatio, wilh thc CoC m.mbcrs from thc rohl payout Proposed by thc Rcsolutlon Applicant. lhc RA shall pay rhc mount immcdiatcly upon lhc datc of approval ot Rcsolulion PIan by thc Adiudicatine Aurhorily subjcct to provision ol Uank Ac.ount dclails by thc Unsccurcd Financial Crcdirors. Part c Proposal for operatlonal Creditors lcoverrDert Dues) ls, ed No 4 r5 36 2',] 163 3 65 47 963 (Government Dues) lncome (DC T). As pcr thc List of Crcdilors available as on 2024, thc amount ciaimcd by opcralional 2O.o9 Crcdiror (Govcrnmcnt Dues) is Rs 15.36,21,163/ and thc amoun! admittcd by thc RP is Rs. - n l, h 65 c ,1 7 ,963 / - . . payment to thc Opcralional Crcdilo, {Gov.rnmcnt Ducs) shall bc distributed as dccided by thc RP;n consultation with thc CoC membc.s Lom thc tdal payout proposcd by the Resolution Applicant. Immcdiatcly upon thc dale of approval oI thc Rcsolution PLan by rhc Adiudicating Authorily. . 'lhc Pld that no Rcsolution a.ssumes additional liabiliry has accrucd towdds Opcrational Crcditors pld (Govcrnmcnt Ducs), bctwccn thc ICD and the ed approval datc by Adjudicating Authority, all such dd liabilirics havc bccn scrtlcd by thc RP claimcd as CIRI'Cosr. Part D: Proposal for Operational creditors (other thar workfien and Eaployees and Govertrtuent dues) NMOUNT AMOUNT CLA MED

Operalona Cred106 (Olher lhai workman Employees and Devp!6 Navakha &

. As pcr thc LisL ol Crc.litor s availabLc <-1 a/lP rn)oal1^HM12025 N cq Bl r4e or,0r. n th. m r.ror sun!oinrlradrna Umited

2o.o9.2o24 provided oniy for Ope.atjonal Creditor lothc! than workmen a,1d Employees a,Id Govemment Ducs) is Rs 41,595 and the sarne amount admitled has becn admitted by the RP. Thc payment towards the admitted debt of the Opcrarional Crcditor lolhcr than Workmen and Employees and Covernmenl Dues) shall be djstributed as decided by the RP in consultation with the CoC members from the to.al payout proposed by the Resolution Applicant. Immediately upon tle date of approval of the Resolution Plan by thc Adjudicating Aulhorily. Any claim of t}]c op.rational creditors, whicb is not submittcd to thc Rcsolution Professional prior to thc approval ol thc Rcsolution Pla, by the CoC or thc jf claim filcd but not admittcd or rcjected by the Rcsolution Prolcssional, such operational creditors shall not be entitled 10 reccive any paymenls uDder thc Rcsolution Plan. Scction 30 of t}le Code rcquircs that tle payment of thc dcbt ol the Operational Creditors shall be the ercatcr of {a) fi. mount to bc paid to thc opcratiooal crcditors in tle cvert of liquidation of thc Corporate Debtor under Section 53 of the Code; or (b) thc amount thal would have been paid to the opcratioral Credilors, ii the amount to be distributed under this Resolution Plm had been 1./ &1r, an)o{/lANM12025 N Cpl 0) 1r9or 2024 l, rr, J(e! u lurpul,nl,,li,srll,lted d;stribulcd in accordMcc with thc ordcr of priority in sub-scction (1) ol Scction 53 of the Code. l.'urthcr, as pcr Rcgulatjon 38 of thc CIRP llegulalions, the amount due to thc operational ffcditors unclcr a rcsolution plan shall bc eivcn prjority in paymcnts to Firancial Crcdito.s.

E: Part on-Prornotor Equity Capital. Thc Rcsolution Applicant proposcs ro restructure rhc capjtal strxcturc of thc Coryoratc Dcbtor. Thcsc sharcs allottcd in thc namc of crstwhilc sharcholdcrs whcther Listcd or unListed/cquity or prcf.rcncc shall stand cancellcd upon approval of R.solution P1an. Th. more derails are mcntioncd in para 10.I oithc Resolurion Plan. Part F: Urorting Capital. Thc Rcsolution Applicdt proposcs a paymcnt of Rs. 25,OO,00O as a working capital expcnsc, which will improvc thc wo.king of lhc company. Thc working capjtal infusion in kcy dcas that drive growth, dd iDprovc clficicncy, cnha.ce product offerings. XII, 2504,400 B By way af intetest frce laan in the caryarele Debto. fo. a oedad ol9 nahths and theteaftet shall have aplion lo conven inb lhe equitv shares ot equal anaunl as per narket value

<-l

Implemertation & Superision of the Resolution Plaa. Thc sup.nising/Monitoring commirtcc shall bc formed which shall comprise of lollowins: a. Rcsolution Prolcssional as Chaiman of Monitoring b. I Mcmbcr from Rcsolution Appljcants c. I membcr lrom unsccurcd financial ...dil6r waivcr/Concessior : stated at the pag. ll to 16 to the Rccorrv of Avoldance Tr.asacttone Thc Rcsolution Applicant state tiat avojdarcc tEnsacl.ion if any under Chaptcr III or frauduleat or wrongful lrading undcr Chaptcr VI of Parl lI of the co.lc will be pursued after the approvat of Rcsoiution Plan by thc Rcsolution Applicant arld atl the proceeds from such avoidancc tmnsactions shall accruc to thc Resolution Applicdt and thc samc shall bc deposited into Primc Ministcrs RcliefFund. XIII. That pursudt to the approval of thc Rcsolutiotr Pla, RP has duty issued the Iettcr of lntcnt to thc Successful Resolution Applicant i.e., M/s. Capvital Advisors Private Limiled on 07.O1.2o2s. A copy ol the letter oI Intent is l( A/(Pran)04/(aHM)r0z5rNcpl Lr)14eor20r4 i rh.m rr of: !!!p4!!Edl4s!rr!ec anncxcd at ANNEXURE K ro thc Apptication. XIV. Thc SRA has submitted thc EMD Mount to rhc tune of Rs. 3,OO,00O/ and lurthcr submiued its performdce Secu.ity to the tunc of 5% of financiat outtay of Rs. 5,oo,OOO/_. A copy of thc prool cvidencing pal.mcnt of EMD & Pcrformancc Bank Guaranlcc bv SRA is anncxcd at ANNEXURD l, to the Applicatjon. XV. Thc fair valu. ofthc corporatc debtor is Rs. 11,29,717/ and rhc liquidation vatuc is Rs. 1,O3,432l-. A copy of Summary ofValuation is annexed ar ANNEXURE M to the appiication. XVI. Thc RP has duly prepared a Comptiance Report of thc Rcsolution Plan datcd 2O.)2.2O24 in thc prescribed Form tl. A copy ofthc rcporr on compuarcc ofrevised rcsoturion plan in proscribed Form H is anncxcd as ANNEXURE N oI thc Applicatior. XVIJ. Thc Applicant hcrcin has not filed any other applicarion conccrning subject mattcr of this application beforc any othd court itrcluding rhc Hon,ble Supreme Court ofrndia. 3. UJ,:nq rn. -.dri.b ^1 2t.O) )O)5,.hi\ tr oJr al tound ,om" discr.pancics in Form tt and dirccrcd thc applicat ro fitcd copics ol RI,RP dd Iniormation Mcmorddum as wcll as thc copics oflhe claim Form/documents submifted by Income Tax Depaitmcnt. Thc relevarr porrion oI th€ said order is 4{ 2-mr rN cp1B) r4e oF ^ n /(rrh,rra mnl0 4i./r(oAHt: Mrpuonz5.. 'ntTrdiu ri'fi.,1

.eproduc.d hercundcr: "After heaing biefly an the salient leaturcs of the Rsalution Plan, we tind lhal there is a discrepancv in lhe Fom-H qua ke status of the clains which is adnifte.l by the leame.l coun*l far ke Applican|RP antl undenakes to t'ile Funhet, it js not clear fom the 5th CoC meelkg in which Resoluion Plan was approred whether any nolice was given to th6 Slakeholderc lar hnal neeling or nol Let copy af the allrelevant documents of natices issued for that neeting ba placed on recod slong wilh prcol of deliverl Funhet, Copies of Request far ReslLli@ Plah (RFRP) and tofmalian i4enohhdum (lM), as well as tuptes of Clain Fffi/documents subnitled by the tncone Ta, Depannent be placed on record " In compliancc ot rhc ordcr daLed 21.O2.2O25, thc Applicant has filcd an additional affidavil on 2O.O3.2O25 vide invard diary ro. Dr870 to place on rccord Rcvised Form H as well as olhcr rclcvdt documents such as o. a. Reviscd Form-H account ot discrepmcy qua status of b. AU rclcvmt documcnts of notices along with any prool ot dcljvcry showcasing convcning of the CoC meeting in which Resolulion Pld cme to be app.oved; c. Copy ol Information hcnorandum, Copies ol Request of Resolution Pl@ (RFRP); d. Copy of claim form along with documents submitted by the Incomc Td Dcpdtment and e- Issuencc oI Notice upon thc Incomc Td Deprtment along with proofofscrice. It is sccn that thc Applicanl. has filcd an addirional affidavit on r^/lPhn)04(^r M)r0r5 Ncr,1 B)14r0r2074

01.04.2025 vide inwdd djary no. D2174, in comptiace ofthe order datcd 21.03.2025 wherein this Tribunal had directcd the Applicant to scne nolice upon thc Income Tax Departm€nt through rcgistc.cd posr ard other modes. Thc retevant portion ol thc ordcr is rcproduced as under: w4 "lunher, direclions issued to seNe the notce upon the tncame Tax De-pannent and file prcaf of the saxe prcof at sejc; file.r abng wjth tha a t l * fio autr telet ts thal agaisl the otdet datFo 21 02 2025, nati." to lhe lncome Deoatl-ncat was se4l thraLgh enait onty on |5O32O2S Theretoe Le tlttotl the AppticanvRP to seve a tash notce upoo the @ncefred ln@tue Ta\ uepantuent thraugh rcEstered post as wetl ds thtuugh L modo and thtough Dasti hade atons with copy ar thjs odet wikin z daya and tite p@r ot prie. setuice 6. In compliaocc of rhe aio.csaid order, thc Appticant filed an additional alfidavit on 21.04.2025 vidc inward diarv no D26t I as a convcnicncc proforma. 7. This Tribunal vidc ordcr datcd 22.O4.2025 dirccred lh. Applicant to filc 29,^ dcclaraln)n an.j proolol rhc ncr ur,rrh,n Lh. SR \ ds ucll as sourcc of funding iowdds thc implcmcotation oi rhc plan.

Thc relcvant portjon of thc sa;d ordcr is produced as undcr: 5 Hawevet dunng the couse ot heamg tt ts poi4ted aut and ob*Ned thal lhe st<As uha has gwen thF pta4 ha@ nat giveh doctaatbn in tems ot secrcn 2gA at hetroncv aad Banktuplct codF 2016 to wnch counset tor the AppticanuRp mdenakes to place an rccard the same. Funher, though there is a niiation qua net wanh o{ the SRA but there is no prcof an raatd qua net wotih on the SM as ueu as source ol tuaono towad thc ihptemedat,on at lhe plan U 6 Funhct. the cause ot detauh ,s aat phietly sho,n lo ha@ been addressed o iN cp(rB) r4e oF ror4 r ^ n / ( th P e h mi)0a4lr/e(Aro3f:M s)uronrm5 intTIldin.Ltnit€d lhe ptan applicalion, as nejther the cause at det'autt has been idenlitied or 7 fnotAtoa ie dted thA aDprcant Rp to Ltant, 04 lnes6 EsLes dnd h rclutn Iie .t d. atnscl tot lhA app\ ont ' RP und6tldtes b tre adottanat dttda\ aoog wnh rehlvanl do.umont. 8 1 bnhpt-oopliced Rp ts ltso o ertFd ,a e,ptd,h the stanglh at ept,as ot be .orcaQle d"bto' o rhi tast tao @ar and co. n o,lot rha pehao ot At 04 2A25 l ldale a, In compliancc ol lhc ordcr dalcd 22.04.2025, rhc Applicsr filcd a. addjrional attidavir on 02.06.2025 vjdc inward djary no. I)2972 to place on rccord rcviscd afljdavit of dcclaration of corptiancc u/s 29A of rhc rBC aton8 wirh DrN numbc.s on thc accounts ol ccrrain discrcpancics.

Thc contcnrs of rhc alfidavits arc produccd as undcrl I. Certillcate from SRA with lespect to eligtbility under Sectior 29A of the Code: Thc deponcnl most humbly submits that during the coursc of thc CIRP ot thc Corporare Dcblor, thc dcpo,cn! has duty rcccived thc certificate/ undertakins from thc SRA under Sccrion 29A of the Codc. A copy of thc ccrlificatc/undcrtaking trom thc SRA undcr rhe Scction 29A oI thc Codc is mnexed ar ANNEXURE B to II. Proof of Det worth of the SRA as wcll as sourcc of (-/ rurd for tmplementation ofthe plar; a.'lhc dcponcnt lurthcr submits thal as per thc net worlh ccrtificatc rcccived lrom rhe SRA, Lhe Net worrh ol Capvital Advisors Privarc Limited is Rs. 46,O4,23u.a4/ and Mr. Kaushik Hasmukhlal candhi is Rs. 60,98,32,000.00/-. A copy of the ner worth ccrtificatc of SRA is annexcd as ANNEXURE C to thc b. 'fhc dcponcnl humbly subm;ts rhar thc Rcsoturion ptan cncapsulatcd thc financjal capabililies of R{s whjch statcs 'The ResoLutian Applic.ent, backed b! a robust frnancial backsround and a linancial capacit! of arouncl d.poncnt humbly submits rhar thc RA has providcd thc bdk srarcmcnr showcasing rhc availabiuly of funds for thc purpose of implcmcnlatjon ol lhc Rcsolution P1&.

A copy ol rhc bank statemcnr of SR showcasins availability ol lunds is ancxed as ANNEXURE D to thc said affidavit. ut. cause of default in the Resolution Plan a!'plication q t^lttanlo4/t^)1M)2a2\ N cP( Dl 14e oF ror4 nrh.m rer orr slnrrlini rrsdins Limit.d a. Prior to Covid Pademic, Corporare Debtor had a hcalthy lending porrtolio of INR 1327 talds (as on 31.03.2019) including advances (Shorr-tcrm loans| amount ro INR 252 Lakhs. However, on account of outbrcak o, covid pandcmic, rhe lending opporlunjtics for thc specific activily of rhc Corporare Debtor rcduccd, rcsulting in shrinkine ol Loan portfotio. Furrhcr opportunities for Corporate Debror werc dcteriorated when the lending mdkct tighrened primarily duc to int oducrion of innovativc digital lcnding products during posr covid era. The Surplus I-iquidity aising as a rcsutt of thc abovc situation was divcflcd towards invcsrment in capitaL markcrs. b. Thc capital market rclurns bcing uoccrtain exposcd lhc corporatc debtor ro insrability; as a rcsult, the company incurcd losses during FY 2020 2l,2o2t 22 and 2022 23. Apdt from thcsc findcial dimculrjcs in thc lorm of losscs lor 3 consccutive ycars has broughr dow, thc Nct Ou,:rlcd fund below rhc prescribed resulato.y limit oIINR 2 Crores. q rA/lPri,')oalt^fMP02srNcp{rD)r4eoF20r4 irh.m:11erol sunpoinrrradinRLimitcd c. Subsequcntly, thc board in its meeting datcd 26-06.2023, in the inlerest of rhc Corporate Debtor, rcsolvcd to exit from thc business of NBFC wef 30.06.2023 and ftrlther dccidcd to surrender thc ccrtificatc of Rcgistrarion u/s 45-1A (6) ot rhc RBr Act 1934 as Investmcnr afld Crcdit Company.

A copy of thc uoard rcsolution along applicarion for voluntary surrcndcr of Rcgistration atong with resolution atong appUcation for voluntary surender of RegistrarioD its along with annexed as ANNEXURE E COLLY to thc said aflidavit. d. Consequcntly, the RBI vide its order dated 21.09_2023 was plcascd to cdcei thc ccrtificate of Rcgisrration on voluntary basjs for thc Corporate Debtor. A copy of the order datcd 21.O9.2O23 is annexcd as ANNEXURE F to thc said affidavit e. The dcponcnt further submitted rhat thc Resolution applicant has further addrcssed the causc of default in dcrail in its Resolution Plar. @r57-r58). IV, Strength of the Corporate Debtor tn the Last Four 14 ryPr rxcq rlr4eoF,or4 )O4/(aHMDors i the nanerof: sun!oinr Tradinp rimned years and cash flotr, fo! the period of O1.O4.2O25 till a. Thc copy of thc Annual Rcport ofthc Corporatc Debtor for th. Fy 20 21,21 22,22-23 & 23 24 alons with thc provisjonal balance shcct lor thc pc od 01.04.2024 29.08.2024 is anncxed as ANNEXURE G COLLY to t

9. Bowcvcr, vide order dated O5.O5.2O25 this Tribunal Iurther obseded as un.l.r: "1.d. Applicant furthet subtuits thdt the.e is same e ot in tle complidne alf.tauit of de.tarutiok lile-d u/s 29A oJ IBc prouiaea bs the SRA. Ilence, he requested to Jite tuui.e.1/@tected alfldaDit oJ dectarutian oJ @nptiane u/s 29A ol nlc along uith their DIN numbere.' 10. Therciorc, thc applicant complicd with the order dated 05.05-2025 by filins thc reviscd alildavit on 02.06.2025 vide nsdd di-L.l no- D 2a7) a. w, ll ,. annrl^r aflrd.v. .,' comptjancc qua 29A throuAh inward no. D34O L 11. On 24.06.2025, during thc hcarins, thc applicant counsel \ouehl i,d r19,...,..'ll. d , \:<, d I.^.r H pr^\id,J Iy rh^ IBBI in tcrms of &csh Dotification issued in the u 2025, alo.g with convcnience compilation <4 !L(414yur,!24 A/1Prd)r,y(AHrv)r,rr5 consolidated summary of the pleadings. The relevant portion ofthc said order is reproduced as undcr: "Ld. Coansel fo. the appli@nt/RP ana RP in persoa seeks indulgerc to Jile d leuised l.ornJt ptuuiaed b! tle IBBI in tetus oJ t6h notifi@tioi Esued ia tLe tuonth of April, 2025, along uirh conuenien@ enpibtio .han o.[ the @L.olidated summar! al the plzddiigs. Let ile same be rtled b! ua! aJ alfidauit uithin a petud of seuen uo*ins ddss., 12. ThercaJtcr, the Applicant filed arl additional amdavit on 14.07.2025 a;dc inward diary no. D4674 in compliance with thc abovc mcntioned ordcr. Thc contents as reproduced as Ieprodlrced as undcri i. The prcscnt application is prcferred by rhe Deponcrl undd Scction 30 of lhe Code, scckins approvat of the rcsolution pLd. This Tribunal, vide its order dated 24-06.2025, dircctcd the applicanr hercir to place on rccord thc rcviscd Form H and compilalion chart of t}le consolidatcd summary ol pleadjngs. A copy of thc order dalcd 24.06.2025 passed in IA (PIan) No 4 of 2025 in Cp (IB) No 149 ol2o24 is anncxcd at "ANNEXURE A" to the said aflidavit. .h. ii. T1, l), Dnn.nr , ,,mpli"r, w h ord,.r dal.d is or 24.06-2025 piacing rccord the revised Form-H daLcd O2.O7.2O25. A copv of the revised Form H daled <-/ a/{Pan)04/(^HM)20rs N crl E 14e oFror4 n the man-n oI: sunpoinirr:dina rimited

O2.O7.2O25 is annexed at'ANNEXURE - B'to the said aifidavit. 'llhc D.poncnt durina thc p.ndcncy of the IA (PlaJl) 4 of 2025 has mulriptc additional afEdavits to place on rocord addjtionsl documents as and vhcn directed by rhis lkrn bLc Tribunal. 'lhc Dcponcnt for rcady refercncc and convcnicncc ol this Bench has rcproduccd a detailed timclinc ol thc multipl. affidavits filed durins thc lA (Plan) a ot 202s hc.cundcr:

21 A2 2025 Affidavil dated A copy ol revised Form H A copy ol ihe reevanl documenls of notrces along wlh Ihe any proof of deiivery showcasing conven ng of the CoC meetrng n whch Resounon Plan A copy oI lhe carm Iorm along wlh doclments slbmtled by lhe lncome Tax Departmenl along wiih RFRP & nformation MemorandLm .opy.fthL:.nra da\.]15 a3 2425 A copy oi the emai daied 15 03 2025 A copy of the cedricale/undedak ng irom ihe SRA under ihe Section 29A of the A copy of lhe net worlh Ceftilcates oI A copy of rhe Bank slalement ol sRA showcas n9 avallabilly oi lLnds A copy of lhe Board Resoulion along applcation lor voluntary surender of Ua Registalion along wilh ils annexures A/lPrJn)04/1^fMPors Ncp{B)r4eorr0r4 rn th-a dr ter oI sunpoiniTradinr timit.d

A .opy ol lhe order daled 2t 09 iO25 The copy oi rhe Annua Repon oi rhe 2j Corporaie Debtor for lhe Fy 20 21 22. 2223 & 2324 atong w h the provEional balance sheel for the peiod 01 A4 2A24 lo 29.0A 2024 Copes of .llrdavts or de.araron of comprrance u/s 29Aoithe tBc 2016 iv. That, the Dcponcnr in complidce with the ordcr datcd 24.06.2025 is placins on rccord rhc Rcvised Convenicnce Proforna lor Resolurion pjar. A copy oI rhc Revised Convcnicnce proforma ior Rcsolurion plan is enexcd at .ANNF]XURE C' thc said aJfidavit. 13. As pcr clausc 6 of r Rcsolution Plan, thc summary oi proposal js as undcr: S@mary ot Propcal 6.1 Thc lollowine lisr of claims have becn preparcd on rhc Sr Typo ol crcrtilor amountcla hed amouni 1. u..ecured I 4qmined I r,nanciir ] r,to.sg.5rs 1.46,ss,58s I i9red,tore I a JhavF, t.ro,.9 ard tnle\laer r. 46 59 589 i 146ses8e l Lh,led Pi,vate 2. i OpeEtion.t l ] Due C s r r e ditoa I is,36,21.163 8,56.47.963 {Governmenr I l 1d. rLone ld, Oeparhenr tDClI, 15,'6,/r GJ 3. reJ6J7p-7.963 lOperationat CroditoB {othe. 4i.Sgi l4iJr5 - I than workm.n, Emptoyees I and Government Duegl 1a DevpJa \av,a1t-a 8 Co 4t5S5 Ef-ss5 U A/(PraO04/(^HM)rors rN cf{r4 r4ror 7nx nthc m rc r ofr !!!dnr !'!!j!s Ljx,itcd

16,A3 22,147 10.12.49147

6.2 CIRP Cost Thc Resolution Applicant has provjdcd wirh d esrimarc of the CIRP cosls at Rs.l5,Oo,OOO/- which shall be paid jn futt and priority as pcr the provisions of rhe Codc dd in casc it cxcceds thc said amounr rhc said amounr shal bc adjusred from paymcnt to othcr crcdirors subject ro rotal outlloiv not cxcceding Rs.27,o0,000/ ro aU rhc crcdirors of thc corporarc

6.3. Settlemert of Credttors Pursuant to licgulation 38(tA) of CIRP Regutation, Thc Resolution Applicant is submitring The Resotution plm which takes carc of inrcrcst of aI rhc stakeholdcrs. A bief snapshol of financiaL proposal for seft]cmcnr ol alt rhc creditors oI corporatc dcbtor is as undcr: Sr r ,11i 5! 589 r^/lPran)04/(AHMPor5 rN cp1 B) 14e oF n rh.m reror, luipoinr rr?qln! rinired'or4

Operarona 41 595

25 00 000 52 0a 000 14. r\s pc.9 I and 9 2 ol lhc Rcsolutjon Ptan, Infusion/ Source ofFunds tL, ,s L, rl, r Fron the dale ot NCLi Or.te. approving the Resolution Plan lhe Resolution Appiicant is proposing a pian size of Rs 52,00 040/- fot the Renlutiah af the CoeoQle Debtat Out af the ehtue rcsolulion plan, a sun of Rs. 25,A0,00A/-shal be paid by subscnptun to 2,54400 equties of Rs 1A/- (Rs fen only) each Renaining Rs 27.04,404/ shall be patd as loan, which shal be interest hee fat ntne nanths ahd thereafiet shal have aptiah ta canveft into the equily shares al equal anaunt as per na*et value and Rs 25,40 040/ as warking capital Al lnfusjon in the Co@otate Debtor shall be frcm Special Puryase Vehicle eithet to be latned ar thrcugh lhe existing entity such as Patthebhip tutu ot a ptivate tnited @npany or a prblit limted(ompan! at the Gee fra! be 4 Fattt Shat.s 2sOA aAO B By way ol intetest free loan in lhe Co.po.ate Deblar rar a penad al I nanlhs and lhereafter shal have oplion lo conren inb the equily shares 11 (-/ rn)oall^f Ml202s iN cPl rl la9 oF 202a in^/rrhP- "matlerof:SunDoT Tradinr limired l

S. Catparate lnsalvency 2 U n secure.l Fin a nc ial Credita$ Ia be .lecrk l b! RP i1 3 operctjonat Crednorc Govt. Oues) cansutlation dth the CaC I aperatian at c reditare @lie Menbers Rs 25 0a oaa 5 Nan -Pronolet Equity Capit al V'/rttna aaptat L\p.nscs 15. \s n.r Claurc .1.9 r'.rf. th. Eoard of ^l

I,'ollowi.g skills/cxpcrtisc/compctcncies idcntilicd by rhe board of directors as required in the conrext oiits business(es) and it sectorls) for to function effcctively and those actually availablc with the Board aJtcr the approval of Resolurion ski / Mr. Chanered Accounlanl caries an experence more lhan 22 years rn f/lh : qo.d .!p.,lri.e ol Singh experiefce of more Ihan 25 years in complance and 1./ N.{ A/(Pran)04/(aBM)r0r5 r)14eorror4 n in rhe rcr of: sunpoinr r.adihsLimited

16. \\ p " ( rius. lr oI rl R,.olu, ^' Pllr I Term and timetinc LL:,(1(.r rl,1. ll,rs.lL rion lj{, l.i r: ui,!(., l. .,ri ?.r,m,r,1.;,.. o.o!.,.,r !,i, .nrrb; rh;ta;bo,a@r l stocr E or R6 "EJ 2ors rcquiEd u^der SEB(LoDR) 's I R*hududn, or srEE 6dtar a tid€.; l I @,o..d,E l P.ytud ro wdh,e c:t,r.r -'- I I ch E M'rorare-;i-r-d'6 co,pdzE D€Dd,E 6. enl ted ry R,{/sPv on t".th.c.@,",.o.hb.1 E,rnc pdMdof fchcE-fte;,r,c Eq"iE L I"fiP co-e',-*h^ t-irrh=h ehord,Effi- 'o. i 17. As pcr Claus. ll.l oi thc Rcsolution Plan, thc Monitoring Committee and Lhc Supervision of Implemertation of thc Rcsolutn)n l)lan is as undcr: '1 1 1 On Approval ol the Plan by lhe A.ljudaaling Authority 11 11 By oder of lhe Adjudicating Authorily approving thjs Resolulion Plah, all the existing Direclors or lhe Caryarate Deblaa withaut any ludhet actian beinq requne.l on lhe pad of ahy petsan, shall, unless otheMise requnecl by the Adtudicating Aulhotity at agreed ta by the Resolutian Applicanl n writing, be deehed to have resioned frcm the Baarcl af the Corporcle 14

Debtor. After lhe Etrecltue Dale, the Resoiulian Applbanl shal constiute the Board ot the Corporate Debtor and appoint kay nanagerial pers@nel The Resolulion Applicant prcposes lo dieharge all amounls d@ ta creditors as decided by RP in @nsutation with the CoC Menbe5 immediately upan ils awroval by the Adjudicating Authatily howver, in no ca* lhe anounl otfered shall oxceed Rs 27,00,0OA-in lotal being outflow to crednors including CIRP COSI PROPOSAL FOR SUPEFY/S/A/G RESOLUT|ON PLAN AND ITS IMPLEMENTATION Su\ecl lo appraval of Connin@ af Credilars an.l A.ljudicaling / Aulhonlies, the Supetuising Manitofing cammillee shall be ra@cd ahich shalt codpnse at rolo in1 (a) Resotutian Prctessionat (RP) as Chaiman of Monitonng Connitee (b) 1 Menbet ton Resolution Arylicants: (c) 1 Menbet ton Unsecurcd Fjhanciat credilor to supetuise the inpietuntalah and erecutbn of Reelulion Plan lill lhe bmpletian of lenure of full paynenl ol Rs.27,00,000/- as enisage under resolulian plan sai.l araunt is paid on lhe effecli@ day, seh consltunon of manitaing conntnee shall nol be required ' 14. SoME aDDrrroN^L rAcrs. 'lhc Form G titlcd, (Invitatior lor Dxprcssion oi Inl.crcst for Sunpoinr Trading Limited daled O) -1A.2O21 statcd that lhc company docs not have d,y rv,o a.\^r\ a-d l''\ no mznua, urine unir oPcratn,n\. Thcrc arc thd cmployccs othcr a company sccrclary. Information rcLcvant to thc prcscnt procccdings, as availabl. in th. aDdir.d a.cou.ts of thc CD lor thc t--/ -7- A/iP, n)04/1^hMP0r! Ncrl E 14eor2014 i the m rerof srnpoint lr.dinfitioirell financial year 2023 2024, is given below (the Rp providcd the intormation bascd on the diredions issucd by this Tribural). The sharc capitalofthc company as on 31.03.2024 and 31.03.2023 was Rs 303.34 lacs. Thc namc of thc sharcholder holding more rhan 5% shdes and promoters arc disclosed which de as follows:

t.rd BDrdng

. Rcscncs and surplus of the company as on md 3LO3.2O24 31.03.2023 werc Rs -408.49 laths and Rs 253.21 lakns rcspectively. The bifu.cation oI reservc and surplus arc as such Gcneral Resenc ol Rs. 77.08 lakhs, Statutory 0 Rcscrve O.00 and Rctain.d Earnings of Rs. t4 1) -w :n)04/(^BM)r0r5 rN cp{13) 14e oF r0r4 r ^ n / lrPhe maner ol: sun!ointTradinr Linired

485.96 lor thc ycar 31.03.2024 and General Rcscrvc of Rs. 0.65 lakhs, Statutory RescNc 76.43 la-khs and Rctained Earnings of Rs. (-) 330.29 fo. thc ycar' 31.03.2023. The retained carnings in negarivc indjcatcs thc accumulatcd

Long tcrm borrowings respectivcly as on 31-O3-2o24 and 31.03.2023 wcre Rs. 131.77

. Thcrc was no borrowings as on 31.03.2023. The Unsccurcd financial crcdilor, Jhavery Trdaing and lnvcstment (P) Ltd. Provided a loan of Rs I,25,00,000 and latcr filed application undcr scctionT on2-4-2024. Tangiblc assets were of lis l.sa lalhs dd Rs 12.06 lakhs rcspcctivcly on 31.O3.2O24 ahd 3t _03.2023_ Othcr Non Curent Assets werc of Rs O.51 lakhs as on 31.03.2024 and 31.03.2023. Curcnl assels comprisjng current irvestments, (-r rA/1flan)orlt^HMPor5 Ncq B)14e or r0r4 ln 1h3 mater of: suipointTrad ne timned cash and cash cquivalcnts, short-tcrm loans and advanccs, and othcr currcnt asscts were of Rs ed 2.70 lakns Rs 154.60 lal<hs, rcspcctively, as on 31 .03.2024 and 31.03.2023. . o As 31.03.2024 and 31.03.2023, respectively tho Company had a loss bciorc tax of Rs 165.ou lakhs and 4l6.06lakhs. . Thc company madc ni1 rcvenuc lrom Operations in thc l'Y 2023-2024 and 2422-2023. Similarly, the information for the financial year 2021-2022 is gtven belotr,: Thc sharc capital of thc company as on 31.O3.2O22 and 3I.03.2O21 was Rs 303.34

Rcscrucs and surplus ol thc company as on 31.O3.2O22 ard 31.03.2021 were Rs 155.89 laLhs and Rs.194.l3 lakhs, respectively. Tdgiblc assets werc of Rs 15.94 Lakhs arld Rs. 19.26 Lakhs rcspcclivcly as on 31.03.2022 and 31.03.2/J21_ Z1 rA/(P )04lIAHM)20rs rN cP(rB) 14e oF n lhemaxerof: sunelntT.adln. Llmlt€d '0r4

. urr.nl a ass.ls invcstments, cash and cash equivatcnts, short tcrm loans and advances, and other cuffenr dd asscts wcrc ofRs 430.27lakhs 341.66lakhs respcclively as on 31.03.2022 and 3t.O3.2OT. . As on 31.03.2022 and 3L03.2021 rcspecrively thc Company had toral revenue of Rs.st Lalds and Rs.235.04 lal.hs. . As on 3l-03.2022 a,d 3r.03_2021 .especrively, thc company had total expenses of Rs 79.11 lakhs, and Rs. 212.41 Lalths. . As on 31.03.2022 a.d 3t.03.2O21, respcctively thc Compafly had a Profir/loss bclorc td of Rs (73.62) takhs and o.10 Lakhs. 19. Jhavcri'lradjng and tnvestmcnl privarc Limired granrcd Inter Corporate Dcposit lod faciLity (fo. shorr .ICD,) ot Rs. 1,25,00,000/ rhrough Sanctioned lc[cr datcd 25.02.2023 to thc Corporatc Dcblor j.c. M/s Surpoinr Trading Limited. 20. As thc loan was not rcpaid by the CD, thc FC fi1ed apptication undcr scction 7 of thc IBC and thc Corporatc Debtor reptied a 1t a(Pran)041^tsM)r0r5 rN cqiB) r4e or ror4 n thc mi rl su,lElittlndhu li'nired that, "We would ltke to inforE you that due to volatility and downfall of market for th€ purpose ol noa-payment ot Iiaancial debt' and "the Respondent admits to havtng ir defaulted repaytng the financial debt in question',. 21. Thc Rl) has not submittcd a copy olvaluaron reporrs wiLh rhis Tribunal and only submiltcd that onc valucr, nam.ty.lanal< Jagjva. Shah, had valucd thc fair valuc oI rhc CD ar Rs. 10,10,382/ and Liqui.lation Valuc ol Rs. 94,a12l. Anorhcr valucr was Mr. Manish Buchasia who valucd lhc CD ar fair valu. ol Rs. 12,19,O521 and l,iquidation Valuc of Rs. 1,12,O52 22. jnformatjon No on thc asscts valucd is provided. tr appears that thcsc werc cash and bank balanccs, financiat asscts and lt invcstments. is unclear whcthcr thc vaLuatiofl rcporrs wcrc zl,o \ouehr .,y 'h. s.l. ( n, m, n b,.r r, und, -sra..l rh. n.r

23. Thc Rcsolution PLan sccks varlous waivcrs and concessions. Somc of thcsc waivcrs and concessions sousht havc no nexus vith Lhc rcal lacts and ground situation of thc Corporate Dcbtor. <4 0lrlhrill))! !.,ri3l 4!oi :a/i ^rii,

24. Thc Plan starcs that avoidancc transactions ii anv under Chapl.cr III or traudulcnt rransactjons wiLl bc pursu.d by thc lhis RA. indicatcs that thc RP has not inform.d and CoC ha not considcrcd that no such avoidancc transactions or Iraudulent transactions have been identified as no transaction auditor was appoinLed. 25. Thc Resolul.ion Pla statcs that thc name of thc CorpoEte Ilcbtor was changod ro Sunpoint Trading Ljmitcd ,rom SUN Finlcasc (Gujarat) Limitcd on 10.11.2023. The Corporate Debto, is owned 23.6lVo by the promotcrs arLd.76.39o/o by 26, A totd claims of Rs 16,83,22,347 wcrc rcccived by thc RP dd that includcd Rs 15,36,21,163 from thc lncome Tax Dcpdtmcnt (Covernmcnt Ducs). Cliams of the operational creditors include that of Bombay Stock Exchange, SEBI, NSDL, CSDL ctc. (Paec 167 of the Plan Application). 27. Thc Plan provides a total payout ol Rs 27,00,OOO and ir stares that thjs amount will bc uscd as dccided by Lhc RP in consultant with the CoC mcmbcr. The pla, states that estimatcd CIRP cost as providcd by thc RP is Rs 15,00,000.

ral(Plan)04/(AHM)2025 rN .P{rs) 149 ot 2024 lnth€ manerof: sun@ilnTEdlneLlnrr€d

2a. On being rcqucslcd by rhjs Tribunal, rhc Rp has provided copy ol income tax assessmcnr ordcrs incasc of CD. An addition of Rs 5,00,00,000 was made ro thc incomc of rhe CD lor Asscssmcnl Ycar 2ota-2019. For Asscssmcnt year 2Or5 2016, thc total income was detcrmincd at Rs 12,74,99,39I and additions of morc rhm Rs l2 corcs wcrc made al1d mosr oi thcsc additions dc on accounr of transactions covercd by frauduLcnt trdsactjons and rhc promotcrs coutct have bc..llttcd by rhcsc rransacrions and moncy was raken our oi thc Cil. SLill, thc CoC did not proposc carrying out thc transacrion audit. 29. Thc cash flow statcmcnr for thc ycar cndcd 31.03.2023 shous that thc company had sold fixcd assets for Rs 16.76 rat(hs and accordingly thcrc wcrc no rxcd asscrs on the date of issue ot Form c. 'llh. compdy atso sotd financial instruments in thc ycar cnded 31.O3-2O23 and ner loss on such instrumcnts was Rs 353.14 lakhs. Indicating that rhc Corporarc Dcbtor sold most ofjrs asscls in thc ycar 2022-2023 bt:fore rhc start of the CIRP but ncirhq thc RP nor thc CoC look notc of ir. Thc .ompay sullcrcd a loss of Rs 409.09 lakhs in trrc year 2022 u a/(Prrn)04/(AHM)2025rN.Pi Blr4qof 20z4 m rn rhe rerof: sunpoinr rradinq rimir€d

2023. 30. Thcrc has bccn no rcvcnuc from rhc opcrations du ng a\ financial ycars 2022 2023 2023-2024. 31. Thc balancc shcet for the year ending 31.03.2024 thc company has a cash a,nd bank batancc of Rs 0.66 lalhs, defcrrcd tax assct ol Rs 22 lakhs. investmenrs of Rs O.5l lal<hs, ard othcr current assets ot Rs i.53 lalhs. The company had bo.rovjngs otRs 13l.77la|hs as on 3t.o3_2024 which was niL as on 31.03.2023. 32, AnAl,ysrs ANp I'pmnacs oF, Trlrs TRTBWAL Bcforc advcrtirg to rhe Applicarion filed by rhe Rp ad thc submiucd Resolution Plan, we consider ir appropriate to highii8ht esscntial facrs about the case as available in the records. . Thc Corporale Dcbtor had availcd the ICD loan of Rs I,25,OO,OO0 from onc M/s.rhaveri Trading alld Irvcstmcnt Privarc Limitcd. The agrecmcnt bctwecn parties is ol 27.02.2023 and the disbursemeDrs aie starcd to be on 27.02.2023 ol Rs 50 lakhs, on 28.02.203 of Rs 50 lal.hs, and Rs 25 lakhs on 4.3.2023. This borowing is shom as Rs 125 tat<hs in $e balancc sheet as on 31.O3.2023. . The facts slated abovc in the orders show that the company had no business during rhe year 2022 2023 and sold its remainins rsed assets in rhe ycar. . ,Jhavi ru TradinR and tnv.sh.nr (pl Ltd is lhe onty <4 A/(P an)04(aHM)?0r5 rN cr]3)r4s orror4 n thp m:rer ol 9!o2oim rradinp rimited mcmber of thc CoC.

The Corporate Debtor has no loaDs from any part exccpt this crediro.. Thc inlormation availabtc on the record does nor show the purpose for which thjs lod received was uscd l\o u ri,)n audit (for sa. dct.rminrng a\nrdan.. or traudul(nr rrdsacrions) has beFn carricd out rn rh. ."s. As pcr thc reviscd Form H, thc fajr valuc ofrhc CD is l.ls 11,29,717 and Liquidarion vatuc is Rs ),43.432. . Thc Finacial Creditor, namety Jhaverj Tradjng and Investmcnt Privarc Limitcd, had filed th; application undcr section 7 of the IBC, 2016, against thc CD on 02.O4.2024. . Thc information on various assers and tiabililies as in notcd rhc balancc shccr of rhc cD as on 3)-O3.2O2r, 31.o3.2O22, and 31.03.2023 and jn 31-O3.2O24 is norcd rhjs ordcr. Therc are bugc liabilitics, and surp sjngly, none have made any claims aaainsr thc CD. The CD also did nor mal<; any claims or rccover any amount. . Thc eD has pracri.auy no busin.ss prior ro Lhe admrssron to rhe CIRP. and also not during Lhc pcriod of the CIRP. . Th, CD has no asscrs tnu facrory. no oifrce, or orhcr pr.miscsJ as on 3O.O9.2024. and ir has onty financial assets, and those are valucd ar liquidation vatuc oftcss than otre ta}.h. .

Thc CD had no empioyces at rhc time of admission oI the cD in the crRp, aJId du ng the cIRp ad at presc,t, thc cD has no emPtoyees. . Thc CD has a huge busincss toss lindicated by rhe negative rescnes and surplus of Rs 4OB lakhs as on 31.03.2024) Howevcr, this asset is not valued. <.,/ r^/{fran)04/IA M)r0r5 rN cp(rB)r4e or r!24 ' rl'c trBrrcr urr sunrotni tradrne rm,t€d

. Thc Plan providcs rhat rhc RA will contriburc Rs 27,00,OOO in thc form of a toan and rhis will bc rs^d ro pav clRP Losr ot Rs ]5,OO,OOO dd a balan.. of Rs 12. OO.UUO will bc us.d ru pay lon. cicdjtor i.e. Jhavcry Tradins and Invcstment Privatc Limited. . Thc Incomc Tsx Departmenl madc a claim oI Rs 15,36.21,163 but thcrc is nothins oD the rccord about due diligence carried out by the CoC aboul rd rcasons ol Lhrs demand. Rs l2.O0,OOO, our or plan paym.nr of Rs 27.OO.OO0. rs pruposed to 80 lo (]'e unsecurcd ind.iat .rcditor ro;l {who Cave and who was rhc soie CoC member. Th. Rp admitted claims of Rs 4,65,47,963 tor the Income Ta.x Deparrmenr. . Thc Rcsolution Appiicait has proposed to inJuse jr an amount of Rs 25 lal<hs the cquity of the Th. rotal rcalizable mounr undcr rhe pt rs Rs 27,00.000 and onty Rs l2,0O,OOO wil) ba evaitablc to mcet the claims from rhe unsecured finaJlcial crcditors. Less rhan I % wil be rea.tized out oI rora.l claims received by thc Rp. No otler ctaimants including the Income Td Departmenr will ger anything. ?hc .cvised Form H providcs that the CD has a business loss ol Rs 4,60,76,225 and unabsorbed dcpreciation oI Rs 7,98,557 and these amounts arc available for carry forward under section 29 (2) ( c) of the Incomc Tax Acr, i 961. No lransactions under secrions 43, 45, 50, and 66 a.c idcntified a:nd this is a failure of CoC and Rp considering the fact rhar tl)e company had a rax dcmand of more than Rs t5 crores.

The CD took a loan of Rs 1.25 cro.cs when it had no business <-/ 0 and within a year the same tender filed rhe ral(Pran)04/(AHM)202s rN.p(rB) 14e oF 2024 n rhe marerof: sun.oinrTEdi rimtr.d application undcr scction 7 and became the sole CoC membcr. . Thc Rccords indicatcd that the suspended board ay oldircctors never atlcndcd CoC meetings. 2L2 Thc CoC appcars to have no idca about the business of thc CD and it never asked ajly qucslions or raised any doubts about thc transactions undertaken by rhe CD. Tho CD was neither subjectcd to any forensic audit nor thc transaction audit nor wcre the transactions rclerred to any auditor for idenrifying the prefercntial trmsactions undcr section 43, undcrualued transactions undcr section 45, extortionatc tr&saclions under section 50, and iraudulent trdsaclions under section 66 of the IBC, 2rJ16. 33. sEcrroN .l oi tbc UIC dcals with tho approval ol thc l n'cnlL iaa plan Sc. ion Jl r,dosds t,,|.w. '31. Apprcel ol Re@&Jtloa Pldn (1) U the Authonts is satisfied tt@t tl@ resolution p^ldd^ju 6di .d ap ti p n r g cu ed bg tle cotutuittee of creditors F) af s"-ction 3a meets the requietuents ds referea b in sub *ction (2) of *ction 30, it slnll bU order apprc@ tlE resolution pldn uhich shall be biadiq on tle ca.porate debtor and its emplagees, tumbets, Rditore, iacluding the Central Gaeffint, ang State Ao@tutuent ot d! l@l duthotitU to whotu d debt ii respect ol tlE pagrent of dues ansias under anA tdu lor tt@ tine beins in fo@, su.h d. duthDnties to whom stdtutorg dues are oued, guarantors dnd othcr stakehodere inrolEd in tlE o Ptuvlded tl@t te A<{villatlas Althotlt!.hdIL <1 r^/1Pia.)04/lAf M)r0rs N cp(rD) r4e or r0r4 i th. m rer.f 5!I!ointTradineLimit.d beJore pessins dn otiler for .qtproet of resotation pldn un.ter this srb.s€.riotr, satislg thdt the resolutiot plan hds p@isions .fot its effe.tik where the A.lju.licating Atthoritg is 12) satisJied that the fesolution ptda does conlim to the ^ot reqtiretue^ts referre.l ao in sub-section (1), it mdg, bg d4 order, reje.t the resotation plo.

13) nE: $.1e t aI apprctut ttxte. sub se.liah tt). ^fi.t (a) the tuorutonun otder passed b! the Adjudicating AuibftV undet section 14 shaLt ease to hd@ 4Ied; and lb) rhe.esotution prcJessionat shatt lorudrd d .efrtd" plating t. thp @rd*t of the @Aonp insaloehcll reelutioa pro@ss dnd the resolution plan ta tl@ Boad to be recorded on ds database. (4)Thc /esolutian applicdnt shall, pureuant 10 tle lesalution pldn apprcued under sub-se.tlon (1), obtain tte le@ssdry opproual required unaer ang law Jor thE tire beins in Jar@ birhin a peiad aJ oke t ear fram tre dote oJ opprc@l of the resolutian ptan b! the Adjudieting Aultudg under stb section (1) or withih su.h penoa 6 prcuided Jar in such laq whicheoer is later- I'roDide.l uit uhere thE lesohition pbn contdins d p/avisian tor @mbindtion, as refercd to in seclion 5 oJ the Competition Act, 20A2, thr .esoluLion applicont shdll obtain the appra@l of ttE competition Cannission of India unler tlat Act piot to tle apprcual of such rcsolution plan by the .ohtuittee of creditots. " 34. To our undcrslandins, scction 3l rcquircs satislaction ot thc Adiudicari.s aul.hority on rwo issucsl a) whcthcr th. resolution pla. har Frov'sons ror rs efTc.trvc impl.mcntationiand <4 rAllPran)u4ltAHM)2025 rN Cp(rB) 149Or 2024 rn thc mdti.rol: sunloiFrl6din! timit.d b) Whcth.. fic .esolution plan mccrs the requirements oI section 30 (2) read wirh Regutations 3A and 39 ot the CIRP

35. s., llor I, (.) nf.L, tu. rddsd,h.t,{. subml$lo "3O. ol tu.ohtdo^ plan, (2) 71e resalution pror{sinnal shdtt exdnihe each resalution plan reeiDed by him to @nfm that each (a)prou!1es lor tre pasrent of insal@nc! re@lution prce$ @sts in a tudn^et specfed bg tte Baa.d in piotitlt to the pagment oI other debts aJ the @rporate (b)praoi.les lor the pa!@nt oJ debts aJ opemrional creditors i4 such manner as mag be qp.ified b! the Board Dhich shall not be less tlnn li)the amouit ta be paid to such ieditars in tt@ euent of a liquidalion oI thE c-ryDtuLe debtot under lii) the anount that @uld hare b@n pdid 10 such ueditore, il the dtuount ro be di-.tributed uider tte /esalution plan had beet disdttuted in a.cordan@ uth the order oJ p.iorit! in sub s^tim a ) oJ section uhicheEr is higher, and prcuides fot tLe paVment oJ ttebts of frnancial oeditots, wtb do not Dote ii Jabur af tte resalution pbn, in such mannet re ma! be specifed b! the Bodrd, uhich shall not be las tt@n Lle amount to be pdid to such deditors in dturaanE uith sub *ction (1) oJ seclbn 53 in ttz e@nt ol d liqai.ldtian oJ tle @ryorate debLor.

Dxpk nation t,-t'a/ rcnoual of doubts, it is terebg chnfied thal a dbtribution i4 @6rdan@ with te prati-.ions oI this .tause shdtt be fan aad equitdbre to r^/{Pran)04/l^tsM)r0rs rN c( E r4eoFr0r4 ir$m Fr.l sunpoinr rridiu rimi$d t)xplonarion 2.-tbr tle pu@o* oJ ,ftis ciazse, i, is hereby .1ecldled that on ana fron the date of of the InsoLuencg drrT Bdnktuptc! code ( rendnent) Act, 2019, the prcLisions oJ this .lause shall also applg ta tte @lpotute i6ol@ncV resolution prcess of a @rporate debtor (i) bhere a rcsolution pldn h6 iot been qpproEd al rejected b! the AdjudiQting Auhantu lii) uhere an eppeal has been preJercd rndet sectiol 61 or section 62 ol such tu dppedl is not time bared under any prouision aJ ldu for the tire liii) uhert a tesat prc@dins h6 been ititiated in anll 6urt agai^st the decision oJ tLe Aajudiating Autho ! in respect of a resolution pLan: tc)prcDides fot uE tudndsetuent of the dJIairc aJ the @tpotute debtar afrer approDal aJ the resoLution plan; (d) the impleneitatioft dnd superuision oltle re&lution plan; (e) does \ot @dt.duene an! of the prcuisions of ttE tdu lor the time beins in fo@; A @nforc to ach other requilements 6 tua! be specifred bA the Baanl *pLanatiaa. -Far the purposes oJ cldtse (e), if ang dpproual of sharehnlders is required under the Companies Act, 2013 (18 of 2013) a. dng other lda Jar the time beins in force for the inpterentatian of a.1iaB under the lesalution pldh, such dpp.oudl shall be deetued to lnue been giuen and it shall not be a @n4o@ntioi aJ that Act ar ld1!.'

Furthcrmorc, Rcsulation 39(a) of thc IBBI llDsolvcncy Resolution Process for Corporate Persons) Reeulations, 2016, rcquircs the CoC to evaluat€ the resolution plan 1,/ in)nr(^rMPir N':Pl 3) r4s o. ?0r4 i^, /( r p ,N trr. uU u, !!!! ,.rrEdinc ri,ir.d bascd on its ieasibiliry and viabilily, a r.sponsibilily that appcars to havc bcen inadcquarely dischaJged in this casc, as cvidcnccd by rhe lack of scrutiny over thc plan,s bu.in"ss pran cuons d frnan.rrt provrsions. 36. We note rhal, as far as rhe amounls providcd by thc RA in the Plan a.c conccrncd. Ir provjdcs Ior th€ utilization of Rs 27,00,000. Rs 15,00,000 wil bc uscd to mecr thc CtRp cost. Balancc oI Rs 12,00,000 wilt bc paid to rhe sole CoC mcmber againsr rhc claim mounr of Rs 1,46,59,5a9. Norhins will be paid to thc Td Income Deparrmenl havjng ctaims oI Rs 15,36,21,163. 'lhcrc is an opcrarionaL crediror for Rs 4l,S9S who wjll also nor gct anyLhing. It is norcd that rhc tair vatuc of financial asscts is Rs r 1,29,717. 37. Thcrc is nothing in the pld ior cffccrivc jmplemcntation of thc plan cxccpt thc rcccipt of Rs 27,OO,OOO ud uritizarion ot rhe lr s3mc. thc casc ol the CD, the plan does not bcncfit anyone exccpt rhc CoC mcmbc. sotd.

Thc CD has no other stakeholders Likc cmployces or cusromcrs who witt benefit. rn Iact, thcre is nolhing in the ptan thar providcs for jnsolvcncy rcsolution ol thc CD or revival of rhc CD. The CD has atready <-/ A/(P ro4l(aHMlror5 N cq Bll4eoFror.1 rn th. manei of: sunpoinrTradingrimit.d sold all the assets cven du na the yed 2022-2023. Ir is obvious bccausc there is norhiq in t})e CD excepl its name, business losscs, and ftnanciat assers having liquidatjon value ol aboul Rs 1.03 la|hs. From the reviscd Form-H it is clear thal thc company has carry torward tosses as per ITR for F.y 2023-2024 arc as such Busircss r.sscs: Rs. 4,60,76,225 ard Unabsorbcd Dcprcciation: Rs. 7,98,SS7. Thc casc has potcntial of misusc of the busincss tosscs and long-rerm capital loss for income rd purposos. This concern ar:ises undcr Scction 79 ot rhc Incomc ?ax Acr, 196I, whjch rcstricts carry foMard ot losscs upon change in shareholdine excccding 5lolo, unlcss excmptcd for rBC resoturions. 34. This Tribunal is tully conscious of rhe principlc that judicial intervcrtion by thc Adjudicaring Aurhoriry under the Insotvency and Ba.kruptcy Code, 2016, must bc limired and restrained.

As rcitcratcd in a catcna ol dccisions by the Hon ble -sLr),.n,. (r,)1,r. i,r.L (L nq if K. S@shidhdr v. In.tidn Oue*eas Bdnk l2o19l 1o2 t@ndnn.con / 12 scc 1sO, Committee of Creditors of Essai Stcct Ltd. V. Satish xumat Gupta a SCC 531, Ebix Singapore Ltd v. Committee of lP) <4 ra/(PrJn)041^NM)r0r5 N c( E r4e oF 2014 n rhe mauerol sunpoi.tTradins rimned creditols of Educosp solutions Ltd l2o21l 13o taxrrann.com 2Oa, vaudt RCK t'. Sil](r In&Lstries &Hotdiftg Ltd ll2o22l 9 sCC ao3), thc commcrcial wisdom of rhc CoC is not to bc inr.rfcrcd with, savc jn cx..ptionat circumsranccs. Ilowcvcr, this Tribunal cannot rcmain a mure spcctator whcrc rhc vcry ancho. ol thc insolvcncy rcsolution process, rhc bona fitlc, Md thc commcrcial judemcnr ot rhc CoC is corroded by palcnt a.bilrarincss and opacilJ. 39. Ilon'blc Mad.as High Court jn rhc mlrttcr of S.V. Itamanj v. Union of Indja (wrir Petitbn No. 29a4S ot 2022) has obsened in para 52.3 as underl 52.3 " Whilc thc lcgislativc intcnr ro savc the corporarc dcbtor as a Aoing conccrn may bc apprcciablc, should ir bc at the cost oI orhcrs, morc so when rhe IBC offers adequatc spacc for enginccring malripulalion?

Thc 1d8er qucstion thcrcforc, is why should lhc Parliamenr bcnd backwards to protcct onc corporar. debtor at thc risk of cxposing thc public inlcrcsl to pcril? Thc prescnr case, a casc study mcrely, illustrates how tBC could bc manipulaled ro dcfeat thc intercsts of thc undisctoscd crcdito.s of thc corporarc dcbror. Somc points for the Parliamcnt to pondcr, dd somc l.gislativc correcrion for it to makc, lcst thc long tffm impacr ol the IBC could be il disastrous, not counLcrp.oductivc. Incidcnratly, has thc I'}arliamcnt taken norc of thc pcrccntage of rccovcry gcncrally achicvcd out of a succcssful rcsolution proccss of thc Corporatc Dcbtor?". <J r^/(rran)04/1AfM)202! rN cptrB) 149 oF 2024 i rhem terof 5ulipointrradiiq rimited

40. Thc facls suggcsr that Lhcrc is no busincss oI the CD. no cmployccs, no asscts (orhcr than financial assers which arc valued), thc rcmaining fixcd assets arc sold in rl,e year 2022 2023. Thc CD took a loan ofRs 1.25 crorcs at thc timc vhen it was sclling all thc asscts and cvcn changcd its name. 41. Thcsc lacl.s raisc s..ious doubts aboul thc wholc CIRP proccss initjatcd bascd on thc application of Jhavery ed Tradins Invcstmcnt Privatc Limitcd. Thc wholc exercisc suggcsls accommodation or colLusivc arrmgcmcnt wjth thc solc purposc of helping thc CD get bencfits of rclicis and concessions undcr Scction 32A of dd jts thc IBC, 2016 raises conccrns about alignment with thc IBCh objectivc ofecnuinc insolvcncy rcsolution. 42. Thcrc js no matcrial in the Plan underpinning lne leasibility and viability oI the Resolution P1an. 43. 'Ihc Corporatc Dcbtor has no asscLs and no employccs. CurrcnLly, CD is not conducting my busincss ad is no1 a going conccm or in opcration. Nonc will bcncfit, othcr than thc o sole CoC mcmbcr, from thc approval of thc Plan. <-/ AIP : n)04/(^H M P0r! N.r'1u)14eoFr0r4 irh0m rrrofr!q4peiltTndr4rimir.c

44. Thc RP has not filcd any lA bcforc thjs'tribunal regardin8 non-co-opcration from lhc CD. Thc RP has ncithcr proposed nor has any initiative takcn by Lhc CoC for identilying thc avoidancc Lransaction. 45. Thc iul.nrft on whi.h thc R.solution Proc.ss undcr the Codc dd proc.cds is thc full co(cct knowlcdge ol the afairs of thc CD; howcvcr, in thc prcscnt case, it appears that full information about thc CD was not availablc to the CoC. Thcrcforc, lhc CoC could not bc said to havc exerciscd its commcrcial wisdom while approving thc rcsolution plan. 45. CommerciaL wisdom oI tne coc: Thc roie of coc is qucstionabtc. Thc decision of the CoC to approve everlthing put up 1c) it wilh a l0oo/o maiority and without raising ary pertinent qucstions/claificalions on anytning during the wholc CIRP indicatcs a behavior not of p.udent decision makcrs and at arm's lensth. The CoC's approval of the resolulion plan with a L00o/" majodty, without questioning significant tmnsactions undertakcn and particularly of selling thc asscts by ihe CD just p or to taling loan. Such failure to u excrcisc duc diligcnce violates r]]c CoC,s dury to mdimisc vaiuc undcr Scction 3O(a) a,nd undermines the IBC'S objcctivcs.

The facts jndicate rhat thejr decisions were motivaled witi the sole intention ofgcrtjng the approval of this Tribunal and gcuing atL rypes of bene6ts, reliefs and concessions available due to the approval of the ptm to aI involvcd in thc transactions. Thcrc appea.rs to be no intcntio. to rcsolvc thc insolvcncy, as tnc CD has no orgoins business and no parly is intcresrcd other rhan the sole CoC member. :17. lir r, .ir!(. t VaUdl RCK t. Shiua rftdustries lslt ra) t\\ Ilonblc Suprcmc Courl has also hcld rhal: ' ..in our uie14 the aditdieting authoritg or rte dppelate duthaita cdnnot sit in an app@t arer tte @mmercial uisdon ol the coc_ fie inter{eren@ wtua be batahted onlg uheh the adjudicating duthbntv ot tte d Ellate @thonts linds the decbbn af the coc to be utblta mpncious, arbitrdry, itationdl and de harc t@ pro)isiore oithe stdtute or tutes_, 44. ln vicw of thc facts discusscd abovc, rh€ CoC not only acted in a "capricious, arbitrary, irrarionat, manner but also approved the plans t}lat contmvene thc provisions of IBC and the Regulations. In that resdd, tle CoC has lailed to exercise jts <-/ A/(P ai)o4(arM)ror5 iN cPlB)1.1e oFzor4 commcrcial wisdom in deciding on thc Resolution Pla., which, in a rcal scnsc, does not ta|e into account rhe gound realities of thc CD aod is no1 commercially fcasible and viable.

Ir does no1 lead to value maximisarion from t}le assets of the CD. 49. Thcrcforc, wc arc of thc view that the resolution plan has no as provisions for i1s .ffectivc implementation required by Scction 3l (l) of the IBC, as there is nothing in the plan except paymcnt to coc membcr oi Rs 12 lakhs and mcctine of CIRP cost ol Rs l5 lakhs. so. Thc'l]ribunal would also tikc to mcntion that thc undc.lying purposc ol a rcsolution plan is not mcrcly the scttlcmcnt of claims but thc rcvival oI thc Corporate Debtor as a goine conccrn in a manncr that is comm.rcially viable and legally complianr. In this rcgaJd, Rcsulation 38(3) of the IBBI (lnsolvcncy Rcsoiution Process for Corporate Persons) Reguiatnrns, 2016, oullincs kcy pammctcrs that every rcsolution plan must comply with. Thc said rcgulation reads as , "R.gulation 38(3): 'I h. <-/ rallPrr")!q/(ABM)rur5 rN cP(rB) r4e of ,024 ln the mtt.roisunoointlfadin.Linlt€d shall d.mo.sr.atc rhat (a) it addresses the causc of default; (b) it is feasible and viable: (cl it has provisions tor jts cffcctive jt (d) has provisions for approvals required and thc timcline for thc same; and the resolurion applicanl has the capability G] to implement the resolution plan."

51. In lhc prcscnt case, upon a dctailcd considcration of thc matcrial olr rccord, it is cvident that thc resolution plar lails to satisfy thc critcria laid down in thc above rcgulalion. Fu.thcr, scction 30 (2) of thc IBC, 2016 requircs that the plan provides for thc impicmcntation dd r.solution oi thc Plan. The R{ has no plans lo providc a rcsolution to lhc corporatc insolvcncy. As discusscd in dctail wirh cogent rcasons, thc PLan lails to mect thc rcquircmcnts ol clauses lc), (d), (c), and (f) of scction 30 (2) of tic IBC, 20I6. 52. Thc plarl lacks linancial dcpth and strat.gic clarity tojustify its lcasibility and vjabiiity, as it provides no business projections to rcvivc thc Corporate Debtor, which has no oneoing operations, cmployccs, or plant alld machinery. Moreover, there is no demonstable vision to rcstart the business of the CD and no capabjlity is shown on tle part of the Resolution, <-/ &(r,!n104/(^ M)2!r!rN.r{rD) 14e or 2024

\po'i, "rr r^ ,rnl, ,. I rh. pldn. ln. '.r, ov, \ inlormation on thc business projcctions ofrhe jn 53. Thus, substancc and spirit, thc rcsolution plan does not comply wilh thc provisions of Sections 3o(2)(c), (d), (e), and (0 3l and Scction of the IBC, 2016, and Regulation 38(3) of the CIRP Rcgulations, as it fails to providc ior the maiagemenr of thc CDs affairc, cffectivc implemcntation, compliancc with appticablc laws, and dcmonstratcs the RA's capability to impicmcnl thc plan. 54. Thc Hon'blc Srrp.cmc Court i. th. casc of PraLap Tcchnocrats (P) Ltd. v. Monil.oring Commitice of Reliancc Inlratel Ltd. lO SCC 623, undcr thc Hcading: Balancing rhe goals and key objcctivcs ol insolvcncy law in paasraph 46 of tle order noted " m that, sincc insolvency regime cannot fully protcct thc intcrcsts ol all parties, somc of thc kcy policy choices to be madc whilc dcsigning thc insolvcncy law rclatc to lhc broad eoals of tho Law (rcscuine busincsscs in financial difficulty, protccting cmploymcnr, protecting the inrcrcst of creditorc. <./ )04/1ANM)r0r5 N cPlrs)14eof ^I / t 1 re P | !urr Dr: sunpordtrEdrng umlted '0r4 d Encouraging thc developmcnt of entrepreneurial class) and achicving thc dcsircd bala,nce between the specific objectives

Tho Hontrlc Court in paraslaph 47 turthcr notes that, "Hence, once thc rcquirements of IBC have ben tumkd, the adjudicating autho.ity and the appeUate authdly are duty-bound to abidc by thc discipline of the statutory provisions. It nccds to bc cmphasised that neithcr the adjudicating authority nor thc appclatc authority have an unchartered jurisdiction in cquily. Thc jurisdiction ariscs within and as a product of a statuLory tramcwork. 55. As discusscd in this order, cuffcn y rhcrc is no busincss in Lhc CI), CI) has no cmployccs, thc crcditor othcr than thc unsecured sccurity clcditor (sole CoC mcmbcr) have not evcn filod any claim, a.il pointing to thc conclusion that thc plan submiltcd by thc RA does no1 meet the goals of the IBC law. 56. Accordingly, and in vicw ollhc discussion abovc, the re\rins on the provisions of Sections 30 aJtd 31 of lBC,2016 and 12) Rcgulation 38 as rclerrcd above, the Resolution Plan in qucstion is hcrcby rcjected by this Adjudicating Authorjty for non-compliancc with Resulation 38(3)(a), (b), (c), and (e) of the it CIRP Regulations, 20 16, as tails to addrcss the causc of default, dcmonstratc feasibility and viabilify, provide for, cffcctivc implcmentation, and establish the resotution <1 A/lPranDa/tAHM,202t N crl E 14eoFr0r4 rn lh,a marl"qor: sunooinr lraCinslirllrlC applicant's capability to implcmcnt thc plan.

57. Thc provis;ons undcr Section 33ll)(b) ol thc Code arc rrpr duLLd bcloq: Itltlatlo 33, oJ nqtlddtlon. - |1)where the Ad.judbdting A thodg, (b) rejects the reeLution plan under section 3t Jor the non .omptian@ oJthe requirements specifed tielein, it sl@ll li) pass @ arder requinns te @rporute debtor to be liquidaterl in uE mdnner 6ldid doun in this Chapter; issue a public annaunement stating that the @rpomte .lebtar is in liquidation; anC require such alde. to be sent to tle, duthoit! with whichthe .oeorute debtar is rcqistered. 54. Thc Uon'blc Suprcme Courl in thc case of Ramkrishna Forging Ltd. (Supra), in pdaeraph 29 rcfcrcd to thc decisions in the cases ot Innovcotivc Industrics l,td. v. ICICI Bank Ltd- l2ol7l 84 taxmann.com 32O/ t SCC 4O7 dd Swiss Ribbons (P) Ltd. v. Unjon of India 101 tarmann.com 389/4 SCC 17 in [20191 which it was cxplained &at thc Code vas spccincally inrroduccd by thc Parliamcnt for cnsurirg quick and time bound rcsolution of insolvcncy ol corporatc cntitics in findcial trouble, by fi.st attcmpting to revive thc Corporatc Dcbtor, faiturc whcrcof would cntail liquidalion oI thc corporate <./ a/(trin)04/lAfM)r0r5 N cr,1 B) r4eorr0r4

59. As a conscqucncc, followjng thc rcjection of t}le resolution plan undcr Scction 3l(2) for non complidcc witi stalutory rcquircm.nts, and eivcn thc mandatory requjrement undcr jnitiatc Scction 33lI)(b) to liquidation upon Iailure to approve a iesolutjon pld within the CIRP pcriod (*pired on 25-02.2025], thc Tribunal orders the Iiquidation of the Corporatc Dcbtor to msimiz. cr.ditor valuc and concludc thc insolvcncy proccss. 60. Considcrirg that not much work/proccss is involved liquidation ol tlis case, we djrect that thc RP continuc liquidator- 61. In view of thc above, it is hereby ordcrcd as foliows: - a) Thc Corporatc Dcbto. sunpoint Tradtng Lnrtted is admiltcd inlo liquidatior in tcrms of thc provistuns of 33(11(bl of the InsoLvency and Bdkruptcy Code,2016, to bc conducted ;n accordancc wirh Chapter III of the Codc and thc IBBI (Liquidalion Process) Rceuiatjons, 2Ol6 whiclr shaLl bc clTcctivc from thc datc olthis ordcr. b) Thc Moralorium dcclarcd undcr scction 14 of thc Code u --L )04/1ANM)?075 ri cPtr0l 14e oF 2024 ^/1Pr shall ceasc Lo have effect lrom thc dalc of the orde. of liquidarior. c) A fresh moratorium undcr Sccrion 33(s) of rhe Code is dccldcd. prohibiting the inslitution or continuation of suits or proceedirgs against the Corporate Debror, cxc.pt as providcd undfi rhc Codc, cffccrivc lrom the datc of this odor unlil the complction of thc liqlddation process. d) Thc Liqujdator shall takc chargc oI thc Corporate Dcbtor's asscts, books, and rccords forthwith and pcrforrn all dutics as prcscribcd undcr Sections 35 10 50 ol thc Codc and thc IBBI (Liquidation Proccss) Rcsulations,2016. c) Thc I-iquidator is dircclcd to lilc a prcliminary rcport wilhin 75 .lays of this order, as pcr Reeulation 13 of the IBBI (Liquidation Process) Rcsulations, 2016 and submit pcriodical progcss rcports to this Tribunal. 0 Thc Ljquidator so appointcd shall complete the liqujdation process as pcr the provlsjons of thc Codc r.w. the Insolvcncy and Bankruptcy Board of India (LiquidaLion Process) Rcgulations, 20 16. d All thc powcrs oi the Board ol Directors, kcy managerial dd pcrsoDs, the partner ot *rc Coryorate Debtor, as thc. ! .as. mav b.. l.rcafr.r L.as. ro.xisr. All tlese po$ers 1J rN cn(13) 14e or 2024 l ln^ /(thP.r rnm)0a4n/I.ArnHtM )2n02nsn iniTridin,rrmh.d

1)c.ccforrh !.st q,iLh th. Liqu;dator. r,l Thc Crcditors as vell as thc Pcrsonnel of the Corporatc Dcbtor arc dirccted lo cxt nd all coopcration to thc Ljquidaror as rcqui.cd by him in managing the liquidation process of the i) Thc I-iquidalor will charge lccs for the conduct ol thc liquidatjon procecdings in proporrion to the value ofthe liquidation cstatc asscts as spccificd by IBBI and sane shall bc paid to thc Liquidator lrom the procced of tne liquidation csta1. under scction 53 ofthc Code. j) Oncc thc liquidation proccss is jnitialcd, subject to scction 52 of the Codc, no suit or othcr legal procccding shall bc institutcd by or agajnsr the Corpo.atc Debtor. Thc Liquidator has thc libcrly to instilute a suit snd othcr lcgaL proccedings on bchali of fic Corporate Dcbror with thc prio. approvat of this Adjudicatins Authority, as provided in sub section (5) of section 33 ol k) This Liquidation order shall be deemed to be notice ol dischargc to the officers, employees, and workmen of the Corporatc Dcbtor sccpt to the extent of the business of lhc Corporatc Dcbtor continucd during thc liquidation proc.ss by thc Liquidator. l) This Adjudjcatins Authority dirccts the Liquidator to <-l 1L lA/lplanJoa/{AHM)202s lN cpllB, 149 or 2024 rn rh. mar.r.f : sunooihrT6dina tlmlt.d issuc a public announcement stating that thc Corpolate Dcbtor is in liquidation.

The Liquidator wlll atso scrye a copy of this o.de, 10 thc various Govemment Departmcrts such as Incomc Td, cST, VAT, etc., who arc likcly to havc any claim upon the Corporatc Dcbtor so that thc authorities concemcd are informcd ot the liquidalion order timely. The Liquidator wil also provide a copy of this order to the tradc unions/employee associations of rhc corporate Debtor so that rhc workman/emptoyccs could also be informed of this 'auid. r.n -d.r'l .ough I.'. ossa..dllnn. m) Thc I-rqurdator is lurth.r dir..rcd commissioning a for.nsjc audil to identily a-ny prcfcrcntid, unde atued, Faudulent, transactions under Sections 43, 45, 50, and 66 of the IBC, givcn t}lc sigtlificant asset salcs discrcpa,acies noted during thc CIRP- n) Thc Liqujdator is dircctcd to prioritiz these inv.sligatjons to cnsure tEnsparency and protect crcditor intercsts, addrcssing all the deficiencies noted in this ordcr during the CIRP. The Liquidator shall coordinatc with the Adjudicating Aulhority ior any ncccssary approvals to institutc lcgal proceedinSs, as provided under Scclion 33(5) ofthe IBC. o) As has bccn discussed in this or.ler. lhe CD is no1 a <-f ral(rra,)ut(^HM)20r5 rN c(ru) 14e ol,u24 nih. mar.rofr sunrointrr:dinq rlmlr€d ey carryjne out business operaLion, there are no plant and machitrcry and no employecs.

The Liquidator in .onsultation witi rhc Slakeholder Consultation Commiitcc, as constilutcd under thc provisions of Rcgulation 3lA, may consjdcr the sale of financiat asscls with prio.ity. p) Thc Rcgistry is directed to communicatc this ordcr to thc corccrncd Registrar of the Companies, the registered officc of thc CorporaLe Debtor, IBBI, the Resolutiofl Professional, and the Liquidato. by speed post as well as e mail within onc week from the date of this order, alter complction oi all the aormalities for records and ncccssary action, if any. Thc Regisbar oI Companies shall updatc thc Corporatc Dcbtor's status on thc MCA por1al accordingly. q) Liberty is granted to thc Liquidator to approach this Tribunal ior any furthcr directiors oI clarifications as may bc rcquircd during thc liquidalion process 62. Considcring Lhal, thc CD has onLy a lcw tLnancial asscts md thcsc can be sold casily. The liquidator is dirc.cted to complete the proccss at thc carliest and ftle an application for tbe dissolution of the CD. Thc Liquidator, in consullation with th€ Stakeholders' Consullation Commnl* shell d.t..min. thc mode of sle undef, <-/ rAl(Pran)04l(AHMP02s rN.Plrst 14e oF ror4 ln the matier of: sunpoint l6dlnq llmlt.d

Rcgulation i]2 of thc Uquidatbn Rcgulalions, ensnng no misuse of tax bcncits undcr the Incomc Ta Ac1, 1961. Hc shalt scl thc ass.rs and th. CD should not bc sold as a going (oncem or business as a soins concem to avoid thc misuse of the ta: losses. 63. 1.(i!(lrrt]h.lA (Plan) No. 04of 2025 r,r (lPlllll N,) l4.r ()i l0:l.l s1.'frl! dismissed i,rd ,tisrr)\.,1 ,1 64. lrr. ll,gsrr r i,ls(),l,r(!r(11 s(,rl ,rL:,1 r,trrs.1 th.,)rdrr '() l. lhrll r 1() ,LI 1lL. r),Lrlr(\ iLrrl rlr(rr l.*rr:!rl (-rnr.s(l r(). irli,,,.rri, ih,l L), laiL:,! :r..!i\:i,\ s1, t)s l:L, s lnr),rsrI,.L -w SHARMA SANJEEV SHAMMI KHAN (TECHNICAL) MDMBER MEMBER (JUDICIAL]

i/,:ir0rlnrrrr:.:5