Authority: National Company Law Tribunal, Division Bench, Court - 1, Ahmedabad
Order Date: 13/07/2026
Case Overview
The application was filed by the Resolution Professional under Section 60(5) of the Insolvency and Bankruptcy Code, 2016, seeking exclusion of 62 days from the Corporate Insolvency Resolution Process (CIRP) period of Vimla Fuels & Metals Limited (Corporate Debtor). The proceedings originated from a Section 9 IBC application filed by Vidya Devi Chowdhury, Proprietor of BDHCCI Coal Coke Minerals & Metals Enterprises against the respondent. The basis for exclusion was an order dated 04.11.2025 passed by the National Company Law Appellate Tribunal (NCLAT) that stayed further steps in the CIRP, except consideration of an application under Section 12A of the Code, until its rejection on 05.01.2026. During this 62-day period, no effective progress in the CIRP could be made. The Committee of Creditors approved the exclusion application with 100% voting share. The Resolution Professional reported that 10 Prospective Resolution Applicants had expressed interest, out of which 05 Resolution Plans had been received. The tribunal relied on the precedent set in Quinn Logistics India Pvt. Ltd. v. Mack Soft Tech Pvt. Ltd. & Ors., which recognizes exclusion of periods during which CIRP remains stayed or cannot effectively proceed due to judicial orders.
Final Outcome
The NCLT allowed the application and excluded the period of 62 days (from 04.11.2025 to 05.01.2026) from the computation of the CIRP period of Vimla Fuels & Metals Limited. The Resolution Professional was directed to proceed with the CIRP in accordance with the Insolvency and Bankruptcy Code, 2016 and its regulations. The application IA No. 1056 of 2026 was disposed of with no order as to costs.
Topics: Insolvency, NCLT Proceedings