4 days ago
Hindustan National Glass: NCLAT decides against change of RP, directs NCLT to decide on bids
The insolvency appellate tribunal
NCLAT
has set aside
NCLT
's direction to change the
resolution professional
of debt-ridden Hindusthan National Glass Industries (HNG) and asked it to take a decision on the bids as per the
Supreme Court
's directions.
A three-member NCLAT bench gave a go-ahead to the Kolkata Bench of the National Company Law Tribunal (NCLT) to decide on the approval of bids for Hindusthan National Glass Industries in accordance with the directions passed by the Supreme Court.
"The adjudicating authority (NCLT) may proceed to hear and decide the plan approval application, as per the directions of Supreme Court dated May 16, 2025," NCLAT said.
by Taboola
by Taboola
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Over the resolution professional, the National Company Law Appellate Tribunal (NCLAT) said there was "no majority opinion on Point No.3, i.e. replacement of the RP".
In this matter, the Supreme Court, in a judgement on May 16, 2025 directed the lenders' body, the CoC (committee of creditors) of Hindusthan National Glass to consider for approval of the resolution plan of
Independent Sugar Corporation
Ltd within two weeks.
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The apex court has also directed NCLT to complete the
CIRP
(corporate insolvency resolution process) of Hindusthan National Glass, within six weeks from May 16.
CIRP against Hindusthan National Glass & Industries commenced on October 10, 2021 and Girish Siriram Juneja was appointed the RP.
He had issued expression of interest (EoI) inviting resolution plans, based on which bids submitted by
AGI Greenpac
was approved by the CoC with 98 per cent vote shares on October 27, 2022.
However, Soneko Marketing, an
operational creditor
of the company approached NCLT, praying for removal of the RP. Meanwhile, NCLT vide order dated April 28, 2023 approved the resolution plan of AGI Greenpac.
This was challenged before the NCLAT by several parties, including Independent Sugar Corporation Ltd, which was also a resolution applicant. The NCLAT on September 18, 2023 dismissed all petitions against NCLT order finalising
AGI Greenpac
bid.
Aggrieved by this, Soneko Marketing and Independent Sugar Corporation approached the Supreme Court, which vide its judgment on January 29, 2025, set aside the NCLT order as well as the order of appellate tribunal approving the resolution plan of AGI Greenpac.
The Supreme Court held that as prior approval by the fair trade regulator CCI as required by Section 31 of the Insolvency & Bankruptcy Code, has not been obtained by AGI Greenpac, hence its bid could not have been approved.
The apex court also issued directions to reconsider the bid of Independent Sugar Corporation or any other resolution plans that possessed the requisite CCI approval as on October 28, 2022.
Later, in consequence of the order of the Supreme Court dated January 29, 2025, the resolution plan of Independent Sugar Corporation was approved on February 4, 2025.
Meanwhile, on March 7, 2025, Soneko Marketing, the operational creditor filed an Intervention Petition seeking intervention as well as removal of the RP. However, on the plea, a two-member bench of the tribunal differed and on April 30, 2025, two separate orders were passed by judicial member and technical member.
Following this, a reference was made to the NCLT president, who referred it to a third member, who on June 10, 2025 gave its opinion. Aggrieved by these orders, appels were filed before the appellate tribunal NCLAT.
Meanwhile, a review petition was also filed before the Supreme Court for reviewing the judgment dated January 29, 2025.
Passing an order on this the apex court on May 16, 2025 directed the CoC to consider for approval of resolution plan of Independent Sugar Corporation within two weeks.
Meanwhile, the NCLAT also passed orders on Jul 8, 2025 over the removal of RP, setting aside an earlier order of NCLT in this regard.
