Authority: Supreme Court of India, Civil Appellate Jurisdiction

Order Date: 14 October 2026

Case Overview

  • Parties: Appellant – Shivgyan Developers Private Limited; Respondents – Vimla Devi Sawalka & Anr.
  • The appeal challenges an interim order dated 18 November 2025 issued by the National Company Law Appellate Tribunal (NCLAT), Principal Bench, New Delhi, which required the appellant to obtain prior consent from the respondents before selling its inventories and stock in trade.
  • On 8 December 2025, during the Supreme Court hearing, the Court issued a modified interim order stating that the paragraph of the NCLAT order mandating consent shall remain stayed, but the appellant must not sell its stock to related parties and must comply with the order dated 14 June 2024 passed by the National Company Law Tribunal, Jaipur Bench (C.P No. 14/241‑242/JPR/2024).
  • The Court heard senior counsel for both sides, including Mr. Shyam Divan, Sr. Adv. for the appellant and Mr. J. Sai Deepak, Sr. Adv. for the respondents, among others.
  • The Court also noted pending interlocutory applications (IA No. 315303/2025, IA No. 315835/2025, IA No. 315302/2025, IA No. 62298/2026) and ordered them disposed.

Final Outcome

  • The interim order dated 8 December 2025, as reproduced above, is made absolute and shall remain in force for the duration of the appeal.
  • The stay on the consent requirement for sale of stock is confirmed; however, the appellant is bound by its undertaking not to sell stock to related parties, subject to compliance with the 14 June 2024 NCLT order.
  • All other issues, including the forensic audit, are left open for determination by the NCLAT in the pending appeal.
  • The NCLAT is directed to decide the appeal expeditiously, preferably within two months from the date of this order.
  • The parties are instructed to extend full cooperation to the NCLAT.
  • No opinion on the merits of the case was expressed by the Court.
  • The order was signed by Chief Justice Surya Kant and Justice Joymalya Bagchi, and digitally signed by Nitin Talreja on 18 October 2026 at 12:31:41 +0530.

Topics: Insolvency, Corporate Law