NCLAT directs IRP to collate the claims against Noida-based real estate developer Mahagun

The National Company Law Appellate Tribunal (NCLAT) has directed the interim resolution professional (IRP) to collate the claims against Noida-based real estate developer Mahagun, even as it has sent a proposal to the financial creditor for settlement.

The National Company Law Tribunal (NCLT) had earlier ordered the initiation of the corporate insolvency resolution process against Mahagun following an application filed by IDBI Trusteeship Services Limited over a default of Rs 260 crore.

“Mahagun India private Limited has challenged the order passed by NCLT Delhi before NCLAT Delhi wherein after hearing both the parties NCLAT has allowed the parties to seek settlement and in the meanwhile restraint the IRP to not verify the claims but only collate them,” said Amit Jain, co-founder of Mahagun.

The NCLAT has listed the matter for August 22.

IDBI Trusteeship Services Limited had filed the application under Section 7 of the Insolvency and Bankruptcy Code (IBC), 2016. The date of default in the matter is September 30, 2023.

As per the application, around December 2020, Mahagun sought financial assistance from Asia Real Estate II India Opportunity Trust by issuance of non-convertible debentures (NCDs).

“Considering the persistent defaults in repaying the outstanding amounts in relation to the NCDs on part of the corporate debtor, the debenture trustee issued a notice on February 20, 2024, calling upon the corporate debtor to pay the defaulted amount,” said the NCLT order.

The fund had disbursed Rs 355 crore to the developer.

The NCLT had appointed Manoj Kumar Babulal Agarwal as the IRP and directed him to make a public announcement with regard to the admission of the application under Section 7 of the IBC.