Authority: National Company Law Tribunal, New Delhi Court – IV (Special Bench)

Order Date: 15 July 2026

Case Overview

This petition was filed by Impresario (Operational Creditor) against Colorbar Cosmetics Pvt. Ltd. (Corporate Debtor) under Section 9 of the Insolvency & Bankruptcy Code, 2016. The applicant stated that a demand notice under Section 8 of the Code had been duly served to the Corporate Debtor. The bench, comprising Hon'ble Member (Judicial) Shri Mahendra Khandelwal and Hon'ble Member (Technical) Shri Yogendra Kumar Singh, heard submissions from Mr. Virender Ganda, Senior Advocate, and Mr. Vishal Ganda, Learned Counsel representing the applicant.

The order extensively references precedent judgments to establish procedural requirements. It cites the Supreme Court judgment in Swiss Ribbons Pvt. Ltd. & Anr. Vs Union of India & Ors. (2019) 4 SCC 17, which emphasizes that the corporate debtor must be served with a copy of the application and have the opportunity to file a reply before admission. It also references M/s Surendra Trading Company Vs. M/s Juggilala Kamlapat Jute mills Company and Ors. (2017 SCC online SC143) regarding the directory nature of procedural timelines, and Innovative Industries Vs ICICI Bank (2018 1 SCC 407) which affirms that the adjudicating authority is duty-bound to give notice to the corporate debtor before admission due to the significant consequences of moratorium and board supersession.

Final Outcome

The Tribunal directed that notice be issued to the Respondent/Corporate Debtor (Colorbar Cosmetics Pvt. Ltd.), returnable within seven days. The petitioner/operational creditor was instructed to serve this notice using Form-5 through all modes under NCLT Rules and file proof of service via affidavit. The Corporate Debtor was ordered to file its reply within seven days of receiving the notice and must appear either in person or through counsel/authorized representative with proper authorization documents on the next hearing date. Failure to do so will result in the matter being heard and decided on merits without their response. The matter has been listed for further consideration on 3 August 2026.

Topics: Insolvency Proceeding, Corporate Debtor Notice, NCLT Order