In the matter of Vicotex Fabrics Private Limited

National Company Law Tribunal16 September 2025

CitationIA 3885/2025 In C.P. (IB)/224(MB)2025

Ratio decidendi

The rule this decision rests on

The Tribunal may permit withdrawal of an insolvency petition under Section 12A of the Insolvency and Bankruptcy Code, 2016 on the basis of a settlement between the parties, and may dispose of the application as satisfied where the consent terms so provide. Where the consent terms reserve to the applicant a liberty to revive the petition upon default in payment, that liberty may be preserved in the order disposing of the application, so that the applicant may approach the Tribunal for revival of the petition in the event of such default.

Written by Miss Lucy from the judgment below, not taken from a headnote.

Judgment

As delivered

NATIONAL COMPANY LAW TRIBUNALMUMBAI BENCH COURT IIItem No. 119IA 3885/2025 In C.P. (IB)/224(MB)2025CORAMSHRI SANJIV DUTT SHRI ASHISH KALIAHON’BLE MEMBER (TECHNICAL) HON’BLE MEMBER (JUDICIAL)ORDER SHEET OF HEARING (HYBRID) DATED 16.09.2025NAME OF THE PARTIES: Mangal YadavVsVicotex Fabrics Private LimitedAppearance:For Applicant : Adv. Hitesh P. Mishra (VC)For Respondent : CS Nitish BangeraIBC Under Section 9

ORDER IA 3885/2025 The present application has been filed under Section 12A, wherein the Operational Creditor has initiated CIRP proceedings and claimed an amount of Rs.1,35,96,337, which includes the principal amount along with interest. Learned Counsel for both the Respondent and the Applicant has drawn our attention to page 39, where the consent terms entered into between the parties have been placed on record. According to these consent terms, the payment is to be made as follows: “2. The Corporate Debtor agreed to pay Rs. 1,10,00,000/- (Rupees One Crore Ten Lakhs Only) to the Operational Creditor in the manner stated hereunder. a. Within one month from execution of Consent Terms, the Corporate Debtor shall pay a sum of Rs. 40,00,000/- (Rupees Forty Lakhs Only) to the Operational Creditor by Cheque/NEFT; b. Rs. 20,00,000/- (Rupees Twenty Lakhs Only) shall be paid by the Corporate Debtor to the Operational Creditor within a period of 2 months from the date of last payment by Cheque/NEFT; c. Rs. 20,00,000/- (Rupees Twenty Lakhs Only) shall be paid by the Corporate Debtor to the Operational Creditor within a period of 2 months from the date of last payment by Cheque/NEFT; d. Rs. 20,00,000/- (Rupees Twenty Lakhs Only) shall be paid by the Corporate Debtor to the Operational Creditor within a period of 2 months from the date of last payment by Cheque/NEFT; e. Rs. 10,00,000/- (Rupees Ten Lakhs Only) shall be paid by the Corporate Debtor to the Operational Creditor within a period of 2 months from the date of last payment by Cheque/NEFT.” The Applicant’s Counsel submits that he would like to withdraw the petition under Section 12A of the Insolvency and Bankruptcy Code, 2016. In view of clause 8 of the Consent Terms, the event of any default the liberty is granted to the Applicant to approach this Tribunal for reviving the CP. These observations, the application is disposed of as satisfied.

Sd/- Sd/- SANJIV DUTT ASHISH KALIA MEMBER (TECHNICAL) MEMBER (JUDICIAL) Vicky

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