Authority: National Company Law Appellate Tribunal, Chennai
Order Date: 05 August 2026
Case Overview
This is an appeal (Company Appeal (AT) (CH) (Ins) No.132/2025) filed by Rahul Devarabhotla and nine other appellants against Prasanna Kumar Rath (the Resolution Professional of Value Designbuild Pvt. Ltd.) and two other respondents. The matter concerns insolvency proceedings against Value Designbuild Pvt. Ltd. During the hearing, the appellant's counsel submitted that although they had not been formally served with a copy of a memo concerning the assignment of debt by M/s. Omkara Assets Reconstruction Pvt Ltd. in favour of M/s. India Resurgence ARC Pvt Ltd., they had managed to access it. Consequently, the appellant sought an adjournment to file an application for the substitution of parties, which is required due to this assignment of debt.
Final Outcome
The NCLAT bench, comprising Justice N Seshasayee (Member-Judicial) and Jatindranath Swain (Member-Technical), allowed the request for an adjournment. The matter has been listed for the next hearing on 24 September 2026 to allow the appellant to file the application for substitution of parties.
Topics: Insolvency Appeal, Debt Assignment, NCLAT Procedure