NCLT Initiates Voluntary CIRP Against Alcob India Private Limited, Upon ₹65.44 Crore Default Established [Read Order]

The Mumbai Bench of National Company Law Tribunal (NCLT) has allowed the petitions filed under Section 10 of the Insolvency and Bankruptcy Code, 2016 which initiated the Corporate Insolvency Resolution Process (CIRP) after recording a total default of ₹65.44 crore.

While allowing the application filed by Alcob India Private Limited, the Bench of Prabhat Kumar (Judicial Member) and Sushil Mahadeorao Kochey (Technical Member )noted that the application for initiation of CIRP against the corporate debtor which is engaged in the business of manufacturing glass goods, etc., is complete in all respects meeting the requirements of the Insolvency and Bankruptcy Code, 2016.

In the application, the corporate debtor stated that it has been undergoing continuous losses since the COVID-19 period, making it impossible for it to discharge its financial and operational obligations.

As provided in the petition the loan account was classified as a Non Performing Asset (NPA) in March 2021. The company had availed numerous credit facilities in the form of working capital credit facilities and emergency credit facilities and had also accumulated operational dues and statutory dues. The total default amounted to ₹48.05 crore in financial debt and ₹17.06 crore in operational debt.

The applicant claimed that its liabilities were in excess of its assets, as evident from its audited financial statements up to January 15, 2026. The special resolution was adopted to file the application under Section 10.

Upon perusing the records, it was noted that default was established in excess of the amount specified in Section 4 of the Insolvency and Bankruptcy Code 2016. The application was allowed to be admitted, and moratorium was declared under Section 14 of the Insolvency and Bankruptcy Code 2016. Mr. Rajesh S. Shah was appointed as the Interim Resolution Professional.

The Bench ordered public announcements to be made regarding CIRP and to appoint the management of the corporate debtor to the IRP thus commencing insolvency proceedings.

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