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P.P. Jewellers Pvt. Ltd & Anr & Ors vs M/S Charm Investments Private Limited & ...

National Company Law Appellate Tribunal12 May 2026

Ratio decidendi

The rule this decision rests on

The Adjudicating Authority is entitled to reject an intervention application as duplicative where an application raising similar grounds under Section 65 of the Insolvency and Bankruptcy Code, 2016 is already pending before it, since allowing the intervention would result in duplicity of proceedings. The imposition of costs on a party for filing such an intervention application is not sustainable where the rejection itself is upheld on the ground of duplicity, and costs are accordingly set aside.

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

Judgment

As delivered

NATIONAL COMPANY LAW APPELLATE TRIBUNALPRINCIPAL BENCH, NEW DELHIComp. App. (AT) (Ins) No. 874 of 2026IN THE MATTER OF:

P.P. Jewelers Pvt. Ltd & Anr. ...Appellant(s)

Versus

Charms Investment Pvt Ltd & Anr. ...Respondent(s) Present: For Appellant : Mr. Sujoy Datta, Vibhor Kapoor, Kinjal Goyal, Abhishek Chabbra, Adv. For Respondents : Mr. Ankur Mittal, Aditya, Adv. For R1 Adv. Kanika Singhal, Adv. Muskan Puri, for R2

ORDER

(Hybrid Mode) 12.05.2026: This appeal has been filed against the order dated

20.04.2026 by which the Adjudicating Authority has rejected the Intervention

Petition No.15 of 2026 filed by the Appellant. The Adjudicating Authority in

the impugned order has noticed that the Appellant has already filed an

application i.e I.A No. 882 of 2026 under Section 65 of the Code. The

Adjudicating Authority took the view that Section 65 application on similar

ground is already pending, hence, there is no necessity to permit the

intervention by the Appellant. The application be rejected with cost of Rs. 1

Lakh on the Appellant.

2. Ld. counsel for the Appellant submitted that by intervention application

Applicant was raising certain additional issues which were required to be

considered.

3. We have heard Ld. Counsel for the Appellant and perused the record.

4. The Adjudicating Authority has rightly observed that when Section 65

application has already been filed by the Appellant which is pending

consideration, there is no necessity to allow the Intervention Application filed

by the Appellant which will nothing but duplicacy of proceedings. We are of

the view that the order dated 20.04.2026 passed by the Adjudicating

Authority cannot be faulted, however, we are of the view that the cost of Rs.

1 Lakh need to be deleted. The appeal is disposed of. We make it clear that

any observation made in the impugned order shall have no effect while

considering Section 65 application in accordance with law.

[Justice Ashok Bhushan] Chairperson

[Mr. Barun Mitra] Member (Technical) Sheetal/Manu

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