Authority: National Company Law Tribunal, New Delhi Bench, Court-III

Order Date: 15 July 2026

Case Overview

This order pertains to an application filed under Section 59(7) of the Insolvency and Bankruptcy Code, 2016 by Mr. Rajesh Panayanthatta, the Liquidator of M/s. NextGen Procon Private Limited (CIN: U74140DL2014PTC264790). The company, incorporated in 2014 and engaged in real estate and infrastructure development, had initiated a voluntary liquidation process due to sustained losses since incorporation. The Board of Directors passed a special resolution for voluntary liquidation on 5 February 2018 and appointed Mr. Rajesh Panayanthatta as the Liquidator for a fee of Rs. 1,00,000 plus taxes. The process involved a public announcement, submission of claims, and obtaining No Objection Certificates from its two creditors, whose total debt was Rs. 1,24,300. A significant legal challenge was mounted by MRS Associates India Private Limited, which filed an intervention application (IA No. 672/2019). This intervention was initially allowed by the NCLT but was subsequently set aside by the NCLAT, a decision upheld by the Supreme Court in December 2025, thereby removing MRS Associates from the proceedings. The Registrar of Companies (NCT of Delhi and Haryana) submitted a report dated 30 August 2019 stating it had no objection to the dissolution.

The Liquidator's final report confirmed that the company had no fixed assets. The entire liquidation process was funded from an opening bank balance of Rs. 24,89,252.69. All receipts were realized, and payments were made in full. The total payments included Rs. 1,00,000 as the Liquidator's fee, Rs. 11,780 for advertisement expenses, and various other professional and incidental costs totaling Rs. 1,95,161.83. The two creditors, D Verma & Associates and SARC & Associates, were paid a total of Rs. 1,24,300. The sole shareholder, Skarott Investment Holdings Limited, received the remaining surplus of Rs. 22,46,040.86. The designated liquidation bank account (No. 0711698035 with Citibank, N.A.) was closed on 4 May 2019 with a nil balance. The Tribunal found that all compliances under the Code and the IBBI (Voluntary Liquidation Process) Regulations, 2017 were duly met and that the process was not conducted to defraud any person.

Final Outcome

The NCLT allowed the application (CP (IB) No. 1345/ND/2019) and ordered the dissolution of NextGen Procon Private Limited under Section 59 of the IBC, 2016. The Liquidator was directed to serve a copy of the order to the Registrar of Companies within 14 days and to preserve all records related to the liquidation for at least eight years.

Topics: Voluntary Liquidation, NCLT Order, Corporate Dissolution