Intelligence note
Admitted 6 Jun 2017 by the Mumbai bench on a petition by Edelweiss Asset Reconstruction Company Limited (a financial creditor). Liquidation ordered 14 Jan 2019, 587 days after admission (concluded-case median: 480 days). Admitted claims ₹12,509.00 Cr. Liquidation closed 13 Nov 2024 after a going-concern sale; the company was not dissolved.
Formerly Bharati Shipyard. On 14 May 2019 NCLAT let the liquidation order stand but directed the liquidator to attempt a compromise first, then a going-concern sale. Exicom Technologies India Private Limited bought the company as a going concern for ₹13.80 Cr, with NCLT approval on 29 Apr 2024.
Formerly Bharati Shipyard. On 14 May 2019 NCLAT let the liquidation order stand but directed the liquidator to attempt a compromise first, then a going-concern sale. Exicom Technologies India Private Limited bought the company as a going concern for ₹13.80 Cr, with NCLT approval on 29 Apr 2024.
Claims at a glance
FC 75%
OC 24%
Other 0%
Total admitted ₹17,658.71 Cr · as on 5 Jun 2024
Case details
CIN
L61100MH1976PLC019092
Incorporated
1976
Registered State
Maharashtra
NCLT Bench
Mumbai
Petition
CP292/I&B/NCLT/MAH/2017
Initiated by
FC — Edelweiss Asset Reconstruction Company Limited
Going-concern buyer
Exicom Technologies India Private Limited
Commencement
6 Jun 2017
Liquidation Order
14 Jan 2019
Liquidation Closed
13 Nov 2024
Admitted Claims
₹12,509.00 Cr
NCLT Mumbai: median 550 days admission → verdict · 34% of concluded matters ended in plan approval (n=1,269, full record) · all benches →
The liquidation order
No resolution plan approved within the process — order under Section 33(1)
The Adjudicating Authority rejected the CoC-approved EARC plan u/s 31(2); the expired 180/270-day CIRP period cannot be extended, leading to liquidation.
Liquidator
Vijay Kumar V Iyer IBBI/IPA-001/IP-P00261/2017-18/10490
◆ not the RP
A new Liquidator was appointed because of the RP's conflict of interest: RP Mr Dhinal Shah is a partner of E&Y, which EARC had engaged before the insolvency, and his power-of-attorney holder, team and investment banker were also from E&Y.
◆ not the RP
A new Liquidator was appointed because of the RP's conflict of interest: RP Mr Dhinal Shah is a partner of E&Y, which EARC had engaged before the insolvency, and his power-of-attorney holder, team and investment banker were also from E&Y.
Petition
Edelweiss Asset Reconstruction Company Ltd., Financial Creditor · Section 7 · admitted 6 Jun 2017
Bench & coram
The National Company Law Tribunal, Mumbai Bench
V. P. Singh, Member (Judicial) · Ravikumar Duraisamy, Member (Technical)
V. P. Singh, Member (Judicial) · Ravikumar Duraisamy, Member (Technical)
Claims admitted
Total admitted claims ₹12,509 Cr as on 6 Jun 2017: financial creditors ₹11,373.40 Cr; workmen, employees, statutory and other claims ₹1,136 Cr. Admitted operational-creditor dues are given separately as ₹187 Cr.
Debt as stated
Secured and Unsecured Financial Creditors having admitted dues of ₹11,373.40 Cr as on 6 Jun 2017; total admitted claim ₹12,509 Cr
Valuation
LV The Bench stated average liquidation value of ₹761.50 crores against ₹536 crores; the plan states Operational Creditor liquidation entitlement as NIL.
valuer: Duff & Phelps (D & P) and RBSA; T.R Chadha & Co. LLP appointed by the RP as third valuer
valuer: Duff & Phelps (D & P) and RBSA; T.R Chadha & Co. LLP appointed by the RP as third valuer
Going concern
The Liquidator must endeavour to sell the company as a going concern within six months, failing which asset sale proceeds under Chapter III.
Time in the process
The CIRP was extended by 90 days from 6 Dec 2017 by the order of 15 Nov 2017. The 270 days had already run out when the unsuccessful bidders were given further chances in September-October 2018.
Market test
EOIs published on 4 Sep 2017 and 11 Jan 2018 yielded five plans; four did not comply with section 30(2), and one went to the CoC.
Liquidator’s fee
The Liquidator's fee is proportionate to estate asset value under Regulation 4 and payable from liquidation estate proceeds under Section 53.
Resolution plans that did not survive · 5
Edelweiss Asset Reconstruction Company Limited (EARC) · No single plan value is printed. Financial creditors were to get ₹1,124 crores in phases against ₹11,373.40 crores admitted; the Bench counted only ₹400 crores, payable at the end of 3 years, a 96.5% haircut. Operational creditors: ₹9 crores against ₹187 crores. · rejected by AA (The CoC approved EARC's plan with 94.3% (1.8% against, 3.9% abstained). EARC itself held 82.7% of the CoC vote.)
Wholly deferred, with no upfront cash: ₹93 Cr of debt owed to lenders to be converted into equity, a ₹400 Cr loan repaid after three years, ₹600 Cr at 0.01% after ten years and ₹1000 Cr convertible, the balance written off. Operational creditors to be paid yearly from FY 2019 to FY 2023.
The Bench rejected the CoC-approved plan under Section 31(2): EARC brought in no money, the cash coming from asset sales; the plan only held the company for later resale; operational creditors got 4.81%; ₹270.00 Cr of statutory dues were offered 10% equity; there was no fixed schedule; and EARC, the lead lender, voted on its own plan.
ARCS Ship Build Services Pvt Ltd · ARCS Ship Build Services Pvt Ltd valued the company at ₹2,300.00 Cr, with an upfront payment of ₹200.00 Cr as in its previous plan. · lapsed
Upfront payment of ₹200 Cr offered under its previous plan, with an offer to raise the upfront component substantially.
Its revived offer was never completed: it did not deposit the ₹10 Cr Earnest Money Deposit by 21 Sep 2018. Cost of ₹20 lakh imposed under Section 235A.
Mr. Ricky Nathanial · 'Another Unsuccessful Bidder, Mr. Ricky Nathanial has come forward to make upfront payment of ₹2500 crores as resolution plan amount' · lapsed
₹2500 Cr offered as an upfront payment; undertook to bring the Earnest Money Deposit of ₹10 Cr on or before 21 Sep 2018 and to file a resolution plan showing source of funds certified by his bankers in India by the same date.
Did not bring the ₹10 Cr Earnest Money Deposit or a plan by 21 Sep 2018 despite the Bench's warning, and its counsel stopped appearing. Cost of ₹20 lakh imposed under Section 235A.
Geotech Investment and Holding LLC · Offered ₹3000 crores in cash within 90 days of approval, plus ₹130 crores to operational creditors (including statutory dues) and ₹37 crores to workmen and employees. · lapsed
₹3000 Cr cash upfront within 90 days. It undertook a ₹10 Cr Earnest Money Deposit by 3 Oct 2018 and a ₹317 Cr bank guarantee by 10 Oct 2018.
Came in only on 25 Sep 2018, after the CIRP period had ended, and sought repeated extensions. On 12 Oct 2018, its last chance, its counsel conceded it could not arrange the ₹10 Cr Earnest Money Deposit. Cost of ₹20 lakh imposed under Section 235A.
Perfect Industries Group Holding Ltd · lapsed
Did not appear. A letter of 27 Sep 2018 claimed it had deposited ₹10 Cr as Earnest Money Deposit; the Tribunal said it had received no such deposit and questioned the letter. No cost was imposed on it.
Valuation by asset
| Asset | Fair value | Liquidation value |
|---|---|---|
| Non-Current Assets viz. building | RBSA ₹103 crores; D & P ₹27 crores; TRC ₹59 crores | |
| Non-Current Assets - capital work-in-progress | RBSA ₹71 Crores; 'other two valuers have assigned Nil value' | |
| Stock (current assets) | RBSA ₹221 crores; D & P ₹8 crores; TRC ₹126 crores | |
| Work-in-progress (current assets) | RBSA ₹290 crores; D & P ₹205 crores; TRC ₹201 crores | |
| Cash and cash equivalent (current assets) | RBSA ₹114 crores; D & P ₹46 crores; TRC ₹46 crores | |
| Security Against Borrowings (book value ₹59.02 Cr as on 31 Mar 2017) | TRC 'has not assigned even a single rupee'; D & P also assigned no value, noting 'these deposits should be considered unrealizable, and their recoverable value has been considered as zero' |
What the bench heldThe Tribunal found that the RP and CoC failed to ensure checks and balances and failed to implement safeguards against E&Y/E&Y LLP conflicts of interest.
Also disposed of in this order · 16
Sale of the company as a going concern MA 170/2018 in CP 292/2017 — The Liquidator is to try to sell the company as a going concern, inviting investors worldwide by public notice, for at most six months from the order.
Liquidator fee / costs decided MA 170/2018 in CP 292/2017 — Costs of ₹20 lakhs each were imposed under Section 235A on the three unsuccessful bidders, ARCS Ship Build Services Pvt Ltd., Mr Ricky Nathanial and Geotech Investment and Holding LLC: 50% to the company for employees and workmen, 50% to the Prime Minister's National Relief Fund.
Directions in the liquidation MA 170/2018 in CP 292/2017 — IBBI was directed to examine the E&Y conflict of interest in the CIRP (the RP, his power-of-attorney holder, his team and the investment banker were all from E&Y) and to frame guidelines that keep out non-serious bidders.
Directions in the liquidation MA 170/2018 in CP 292/2017 — As the company is listed, a copy of the order is to be served on SEBI for appropriate action.
Directions in the liquidation INVP 21/2018 — A subsidiary of the company and the suspended directors sought to set aside the CIRP; their counsel did not press the reliefs. Disposed of: any aggrieved person may claim with the Liquidator.
A claim adjudicated MA 334/2018 — The company's contractors alleged the RP and CoC ignored their claims and sought to set aside the CIRP. Disposed of: any aggrieved person may claim with the Liquidator.
A claim adjudicated IA 334/2018 — This appears to be the application of the contractors, listed a second time under another prefix. Disposed of: any aggrieved person may claim with the Liquidator.
A claim adjudicated IA 420/2018 — Application for 242 workers stating that the RP and CoC ignored their claims. Disposed of: any aggrieved person may claim with the Liquidator.
A claim adjudicated MA 473/2018 — Titagarh Wagon Limited, whose claims the RP did not admit, sought to be added to the list of creditors. Disposed of: any aggrieved person may claim with the Liquidator.
Directions in the liquidation MA 584/2018 — The suspended directors, Mr Vijay Kumar and Mr P.C. Kapoor, alleged the CIRP was vitiated (defective notice, undisclosed EoIs, RP-EARC collusion through E&Y) and asked for all plans to be considered afresh. Disposed of: any aggrieved person may claim with the Liquidator.
Directions in the liquidation MA 377/2017 — Disposed of along with MA 170/2018 with the direction that 'the aggrieved person if any may make a claim with the Liquidator'. The order nowhere describes this application's subject matter or the parties to it.
Directions in the liquidation MA 425/2017 — Disposed of along with MA 170/2018 with the direction that 'the aggrieved person if any may make a claim with the Liquidator'. The order nowhere describes this application's subject matter or the parties to it.
Directions in the liquidation MA 501/2017 — Disposed of along with MA 170/2018 with the direction that 'the aggrieved person if any may make a claim with the Liquidator'. The order nowhere describes this application's subject matter or the parties to it.
Directions in the liquidation MA 565/2017 — Disposed of along with MA 170/2018 with the direction that 'the aggrieved person if any may make a claim with the Liquidator'. The order nowhere describes this application's subject matter or the parties to it.
Directions in the liquidation MA 602/2017 — Disposed of along with MA 170/2018 with the direction that 'the aggrieved person if any may make a claim with the Liquidator'. The order nowhere describes this application's subject matter or the parties to it.
Directions in the liquidation MA 549/2017 — Disposed of along with MA 170/2018 with the direction that 'the aggrieved person if any may make a claim with the Liquidator'. The order nowhere describes this application's subject matter or the parties to it.
Key dates in the order · 20
6 Jun 2017 — CP 292/2017 under Section 7 by Edelweiss Asset Reconstruction Company Ltd admitted; moratorium declared
6 Jun 2017 — Dhinal Shah appointed IRP
4 Sep 2017 — First EoI advertisement published (Economic Times, Delhi and Mumbai editions)
8 Sep 2017 — Dinkar Venkatsubramaniam, as the RP's power of attorney holder, wrote to the erstwhile managing director
15 Nov 2017 — CIRP period extended by 90 days from 6 Dec 2017
11 Jan 2018 — Second EoI advertisement published
3 Mar 2018 — CoC approved the EARC resolution plan with 94.3% (1.8% opposed, 3.9% abstained)
23 Aug 2018 — IBBI disciplinary committee fined Dinkar Venkatsubramaniam ₹1.00 lakh in the JEKPL Pvt. Ltd. matter
10 Sep 2018 — Hearing; Bench told CIRP cost up to Aug 2018 was ₹62.00 Cr
12 Sep 2018 — Order fixing terms for the unsuccessful bidders' re-entry
21 Sep 2018 — Deadline for ARCS Ship Build Services Pvt Ltd and Ricky Nathanial to deposit ₹10.00 Cr EMD; both failed
25 Sep 2018 — Geotech Investment and Holding LLC came forward with a ₹3,000.00 Cr upfront proposal
27 Sep 2018 — Perfect Industries wrote that a ₹10.00 Cr bank draft had been deposited
27 Sep 2018 — Tribunal recorded it had received nothing and questioned the letter's authenticity
3 Oct 2018 — Geotech sought more time, citing bank holidays in India and Hongkong
8 Oct 2018 — Geotech sought a further short postponement
12 Oct 2018 — Last and final opportunity; Geotech conceded failure to arrange the EMD
12 Oct 2018 — CGST & Central Excise and Customs officials confirmed equity shares cannot be accepted for tax dues
14 Jan 2019 — Plan rejected under Section 31(2); liquidation ordered; Vijay Kumar V Iyer appointed liquidator
14 Jan 2019 — Costs of ₹20.00 lakh each imposed on three unsuccessful bidders
Later in the liquidation · 2 further orders on record
14 Jan 2019
No resolution plan approved within the process — order under Section 33(1) — The CoC-approved EARC plan was rejected u/s 31(2); the expired 180/270-day CIRP cannot be extended and liquidation follows. read the order ↗
13 Nov 2024
Liquidation process closed — Liquidator appointed 14 Jan 2019. Several asset lots were sold, then the company was sold as a going concern in the 8th e-auction (15 Feb 2024, approved 29 Apr… read the order ↗
E-auction record
Reserves between ₹5.73 Cr and ₹3,980.00 Cr across the notices below.
AUCTION DATE
RESERVE · NOTICE · EMD
15 Dec 2023
Reserve ₹6.61 Cr · Issue of Auction Notice · Parcel 1: company as a going concern. Parcel 9: two semi-built barges and materials at NN Shipbuilders · At the premises of NN Shipbuilders (located at Ghodbunder) and Mannu Carrier (located at … · noticed 14 Nov 2023 · EMD closed 13 Dec 2023 · notice PDF
16 Feb 2023
Reserve ₹5.73 Cr · Issue of Auction Notice · Assets at Gultare Energy Projects, Goa: two semi-completed aluminium hulls, machines, engine · Located at the premises of Gultare Energy Projects Private Limited in Goa · noticed 25 Jan 2023 · EMD closed 13 Feb 2023 · notice PDF
20 May 2022
Reserve ₹316.00 Cr · Issue of Auction Notice · Shipyards at various locations consisting of semiconstructed vessels, shipbuilding equipment, and machinery, … · Dabhol, Ratnagiri and Mangalore · noticed 24 Mar 2022 · EMD closed 20 May 2022 · notice PDF
26 Oct 2021
Reserve ₹3,980.00 Cr · Issue of Auction Notice · Shipyards at various locations: semi-constructed vessels, shipbuilding equipment and machinery, stores and ma… · Mumbai, Dabhol, Ratnagiri, Mangalore, Goa, Bhandarli and Ghodbundar · noticed 5 Oct 2021 · EMD closed 22 Oct 2021 · notice PDF
Recent movement
14 Feb 2024
Others - i.a. 2876 & 3743 of 2023 in c.p.(ib) no. 292-mb-2017
NCLT order read the order ↗
27 Feb 2024
Others - i.a. 4041 & 4042 of 2023 in c.p.(ib) no. 292-mb-2017
NCLT order read the order ↗
13 Nov 2024
Liquidation closed
Closed after the company was sold as a going concern — the company was not dissolved · 5 years 9 months after the liquidation order
13 Jan 2025
Dissolved
Case timeline
6 Jun 2017
CIRP commenced
Insolvency proceedings began · NCLT Mumbai
14 Jan 2019
Liquidation order passed
No resolution plan approved — the company went into liquidation
12 further events in between
14 May 2019
Liquidation order left standing; liquidator told to try a compromise, then a going-concern sale
NCLAT appeal
16 Jan 2024
Dismissed - company appeal (at) (insolvency) no.1300 of 2023
NCLAT appeal read the order ↗
13 Nov 2024
Liquidation closed
Closed after the company was sold as a going concern — the company was not dissolved · 5 years 9 months after the liquidation order
13 Jan 2025
Dissolved
5 years 9 months elapsed · liq. order → dissolution
Company
Legal name
BHARATI DEFENCE AND INFRASTRUCTURE LIMITED
Type
Public · Company limited by shares
Listing
Listed
Incorporated
22 Jun 1976
Authorised capital
₹99.00 Cr
Paid-up capital
₹50.30 Cr
Industry (MCA)
Transport, storage and Communications
ROC
ROC Mumbai
Company status
Active
Registered address
Offi-1001 Quantum Tower, Off S.V., Road, Ram Baug, Malad (West) Mumbai 400064, Malad West, Mumbai, Maharashtra, 400064, India
Claims filing history
Operational creditors ↓
2 ↓
3 ↓
4 ↓
Other stakeholders ↓
Secured financial creditors ↓
Unsecured financial creditors ↓
Latest claims position · version 7, as on 5 Jun 2024, filed by VijayKumar V Iyer
| Creditor class (as IBBI lists it) | Claims | Claimed | Admitted | Admitted % |
|---|---|---|---|---|
| Unpaid insolvency resolution process costs | — | — | ₹14.56 Cr | — |
| Liquidation costs incurred till date | — | — | ₹60.68 Cr | — |
| Secured financial creditors | 11 | ₹14,132.05 Cr | ₹13,224.20 Cr | 94% |
| Unsecured financial creditors | 1 | ₹5.56 Cr | ₹5.53 Cr | 99.6% |
| Operational creditors (Workmen) | 607 | ₹13.59 Cr | ₹13.55 Cr | 99.7% |
| Operational creditors (Employees) | 903 | ₹44.38 Cr | ₹41.30 Cr | 93% |
| Operational creditors (Government Dues) | 15 | ₹4,961.50 Cr | ₹3,996.80 Cr | 81% |
| Operational creditors (other than Workmen, Employees and Government Dues) | 308 | ₹887.74 Cr | ₹233.02 Cr | 26% |
| Other stakeholders, if any (other than financial creditors and operational creditors) | 2 | ₹435.65 Cr | ₹69.07 Cr | 16% |
| Total | 1847 | ₹20,480.47 Cr | ₹17,658.71 Cr | 86% |
Of ₹20,480.47 Cr claimed, ₹17,658.71 Cr stands admitted — 86 paise per ₹1 claimed. ₹2,897.01 Cr was not admitted.
Source: IBBI claims summary for this version · IBBI PDF ↓. Claims are revised as the process runs; this page shows the latest version only.
v7 · latest
as on 5 Jun 2024 · filed by Vijay Kumar V Iyer
v6
as on 19 Dec 2023 · filed by Vijay Kumar V Iyer
v5
as on 4 Aug 2023 · filed by Vijay Kumar V Iyer
v4
as on 9 Dec 2022 · filed by Vijay Kumar V Iyer
v3
as on 30 Nov 2020 · filed by Vijay Kumar V Iyer
Show all 7 versions
v2
as on 30 Nov 2020 · filed by Vijay Kumar V Iyer
v1
as on 30 Nov 2020 · filed by Vijay Kumar V Iyer
Sources, basis and disclaimers → ·
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This case vs Machinery & Equipment
Time to liquidation order587 days
typical for this sector 419 days
Size rank in sector#3 of 217
Key parties
IRP at commencement
Dhinal Shah → · Jun 2017
Per IBBI's register of insolvency professionals, read 5 Oct 2026
CIRP initiated by
Edelweiss Asset Reconstruction Company Limited FC
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