Lucetio Primary Manpower Pvt. Ltd.

The Corporate Applicant is a Company incorporated on 03.12.2010 as "Nitesh Property Management Private Limited" and allotted CIN-UP0102KA2010PTC056128. Subsequently, the Corporate Applicant CP (IB) No.39/BB/2025 changed its name to "Lob Property Management Pvt. Ltd". On 14.10.2022, the Corporate Applicant changed its name to "Lob Facilities Management Pvt. Ltd.". On 02.09.2024, it once again changed to its current name.

The Corporate Applicant offers a broad spectrum of services, including integrated services, total facility management, for residential, commercial and government establishments, which include safety and security of the premises, maintenance, housekeeping, and landscaping. The Authorized Share Capital of the Company is INR 50,00,000/- and Paid-up Share Capital is INR 30,00,000/-

For providing the above-mentioned services, the Corporate Applicant, hires various service providers, such as security guards, housekeepers, gardeners, maintenance staff, etc. The Corporate Applicant enters into various agreements for procuring the said services, with its vendors.

In the recent years, the Corporate Applicant's prospects and profit have been steadily deteriorating. As a result of the declining profitability, the Corporate Applicant has been unable to pay its vendors. It has received multiple notices from its vendors demanding the outstanding dues, failing which the vendors are likely to institute liquidation proceedings and other legal actions against the Corporate Applicant.

The Corporate Applicant's operations have become increasingly strained and its expenses have risen at an alarming rate. While not making any profits, the shareholders have invested additional funds to keep the Corporate Applicant afloat. One of the Corporate Applicant's vendors has filed A. C. No. 139/2019 for a recovery of INR 1,08,87,680/- together with interest @ 12% p.a. from 01.01.2019 till the date of its realization. The said petition was allowed in full, vide order dated 21.11.2022. The Corporate Applicant is liable to pay a sum of INR 1,23,79,707, as on date of filing of the petition. The Corporate Applicant is also unable to pay statutory dues, aggregating to a sum of INR 3,06,99,738.

As on the date of petition, a sum of INR 3,18,01,161, is owed to various vendors by the Corporate Applicant. Currently, the assets of the Corporate Applicant are not sufficient to meet its liabilities. Due to such financial stress the vendors of the Corporate Applicant are not ready and willing to offer any further services and it is becoming increasingly difficult to run the business of the Corporate Applicant as a going concern.

In view of the foregoing and taking into consideration the Corporate Applicant's inability to sustain its operations and its debts far outweighing its revenue generation, which is impacting its ability to repay its debts, the board of directors of the Corporate Applicant, after considering the present situation recommended commencement of CIRP for the Corporate Applicant to its shareholders. Thereafter, the shareholders of the Corporate Applicant having considered these aspects, passed a special resolution at the Extraordinary General Meeting held on 27.12.2024, approving the filing of present application under Section 10 of the Insolvency and Bankruptcy Code, 2016, for initiation of CIRP of the Corporate Applicant. Hence, this Petition.

a. The information relating to its books of account and such other documents for such period as may be specified:

b. The information relating to the resolution professional proposed to be appointed as an interim resolution professional; and

c. The Special resolution passed by shareholders of the Corporate Applicant or the resolution passed by at least three-fourth of the total number of partners of the Corporate Applicant, as the case may be, approving filing of the application.

Further, as per sub-section 4 of Section 10 the Adjudicating Authority can admit an application if the same is complete and no disciplinary proceedings are pending against the proposed Resolution Professional.

a. The institution of suits or continuation of pending suits or proceedings against the corporate debtor including execution of any judgement, decree or order in any court of law, tribunal, arbitration panel or other authority;

b. Transferring, encumbering, alienating or disposing of by the corporate debtor any of its assets or any legal right or beneficial interest therein;

c. Any action to foreclose, recover or enforce any security interest created by the corporate debtor in respect of its property including any action under the Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002;

d. The recovery of any property by an owner or lessor where such property is occupied by or in the possession of the Corporate Debtor.

a. The term of appointment shall be in accordance with the provisions of Section 16(5) of the Code;

b. In terms of Section 17 of the Code, from the date of appointment, the powers of the Board of Directors shall stand suspended and the management of the affairs of Corporate Applicant shall vest in the Interim Resolution Professional and the officers and the managers of the Corporate Debtor shall report to the Interim Resolution Professional, who is enjoined to exercise all powers as are vested with the Interim Resolution Professional and strictly perform the duties as such under Section 18 and other relevant provisions of the Code, including taking control and custody of the assets over which the Corporate Debtor has ownership rights, recorded in the balance sheet of the Corporate Debtor or documents retrieved etc. as provided in Section 18 (1) (f) of the Code. The Interim Resolution Professional is directed to prepare a complete list of inventories of assets of the Corporate Debtor;

c. The Interim Resolution Professional shall strictly act in accordance with the Code, all the rules framed thereunder by the Board or the Central Government and in accordance with the Code of Conduct governing his profession and as an Insolvency Professional with high standards of ethics and morals.

d. The Interim Resolution Professional shall cause a public announcement within three days as contemplated under Regulation 6 of the Insolvency and Bankruptcy Board of India (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 of the initiation of the Corporate Insolvency Resolution Process in terms of Section 13 (1) (b) of the Code read with Section 15 calling for the submission of claims against Corporate Applicant/Debtor.

e. It is hereby directed that the Corporate Debtor, its Directors, personnel and the persons associated with management shall extend all cooperation to the Interim Resolution Professional in managing the affairs of the Corporate Debtor as a going concern and extend all cooperation in accessing books and records, physical and virtual as well as assets of the Corporate Debtor;

f. The Interim Resolution Professional shall after collation of all the claims received against the Corporate Debtor and the determination of the financial position of the Corporate Debtor constitute a Committee of Creditors and shall file a report, certifying the constitution of Committee to this Authority on or before the expiry of thirty days from the date of his appointment, and shall convene its first meeting within seven days of filing the report of constitution of the Committee; and

g. The petitioner shall deposit a sum of INR 2,50,000/- (Rupees Two Lakh Fifty Thousand Only) with the IRP for meeting the expenses arising out of issuing public notice and inviting claims. These expenses shall be subject to approval by the Committee of Creditors.

h. The IRP shall separately & individually intimate the concerned PF Department, Employee State Insurance Corporation, Income Tax Department, Inspector of Factories, GST/VAT/Commercial Tax authorities, Registrar of Companies, Karnataka and other relevant statutory authorities about the commencement of CIRP of the Corporate Debtor and specify the mode and date of service of intimation to abovementioned statutory authorities in 2nd progress report.

The Interim Resolution Professional is directed to submit monthly progress reports to this Authority regularly, along with inside & outside photographs of office, warehouse, installations, equipment etc. of the Corporate Debtor. On taking control of assets and management of Corporate Debtor, the IRP/RP shall affix a Board outside the premises of CD specifying that the CD is undergoing CIRP with number and title of this case; complete name and particulars including contact details of IRP/RP to enable stakeholders to make enquiry and/or to lodge their claims, if any, within specified timelines.