Authority: National Company Law Tribunal (NCLT), Division Bench, Court - 1, Ahmedabad
Order Date: 10/07/2026
Case Overview
This order pertains to an application (IA/1045(AHM)2026) filed by the Resolution Professional (RP) under Section 12 of the Insolvency and Bankruptcy Code, 2016 (IBC), read with Regulation 40 of the IBBI (Insolvency Resolution Process for Corporate Persons) Regulations, 2016. The application sought a 60-day extension of the Corporate Insolvency Resolution Process (CIRP) for the Corporate Debtor, Blu-Smart Mobility Tech Private Limited, beyond the maximum permissible period of 270 days. The corporate debtor was admitted into CIRP on 14.10.2025 via an order in C.P. (IB) No.261(AHM)2025, filed under Section 9 of the IBC. A prior extension of 90 days beyond the initial 180-day period had been granted by the NCLT on 17.04.2026. The extended CIRP period of 270 days was set to expire on 11.07.2026. The Resolution Professional submitted that the Committee of Creditors (CoC), in its 10th meeting held on 29.06.2026, had passed a resolution with a 68.81% voting share authorizing this application for an extension. The justification provided was that three Resolution Plans had been received and were under consideration, negotiations with Prospective Resolution Applicants were ongoing, and the Challenge Process was yet to be completed.
Final Outcome
The NCLT bench, comprising Member (Technical) Sanjeev Sharma and Member (Judicial) Shammi Khan, allowed the application. The CIRP period was extended by 60 days, effective from 12.07.2026, subject to the statutory provisions governing the maximum permissible period under the IBC. The Tribunal was satisfied that sufficient cause existed for the extension as the process was at an advanced stage, and the extra time would facilitate the completion of the CIRP and help maximize the value of the corporate debtor's assets. The Resolution Professional was directed to endeavour to complete the process within the extended period and not seek any unnecessary adjournments.
Topics: Insolvency, CIRP Extension