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Judgment
(Hybrid Mode)
Heard learned counsel for the Appellant and learned counsel for the Respondent. This Appeal has been filed against order dated 20.01.2026 passed by NCLT, Court No.1, Mumbai Bench by which IA(I.B.C)/197(MB)2026 filed by the Appellant has been rejected. The Adjudicating Authority in the impugned order in Para 4 has made following observations:
“4.It is noted that this Tribunal has already dealt with the issue concerning treatment of PI interest of the Corporate Debtor as its asset and the Applicant’s right Cont’d…/ of first refusal vide order dated 12.01.2025 passed in IA 4589 of 2025 and dismissed these contentions. The present application is repetition of assertions already made in IA 4589 of 2025, accordingly, we do not find any merit in the present Application.”
Learned counsel for the Appellant challenging the order submits that although the order dated 12.01.2026 was affirmed by this Tribunal as well as by the Hon’ble Supreme Court but contractual rights of the Appellant has not been considered and decided.
The prayers made in the application IA(I.B.C)/197(MB)2026 has been noticed in Para 1 of the order. Order dated 12.01.2025 was passed by the Adjudicating Authority in earlier I.A. No.4589 of 2025, in which I.A. in Para 1, the Adjudicating Authority has noted the substance of the prayers made in I.A. No.4589 of 2025. Para 1 of the order is as follows:
“1.The present application IA 4589 of 2025 is filed on 4.9.2025 by PAN India Consultants Private Limited (“Applicant”) in Corporate Insolvency Resolution Process (“CIRP”) of Frost International Limited (“Corporate Debtor”) under Section 60(5) of the Insolvency and Bankruptcy Code, 2016 (“Code”) read with Rule 11 of the National Company Law Tribunal Rules, 2016 (“Rules”) against Respondent No. 1 (“Resolution Professional/RP”), seeking, inter alia, direction in respect of Participating Interest (“PI”) of the Corporate Debtor in Oil Block CB-ONN-2010/5 in the Cambay Basin (“Oil Block”), being considered as part of Corporate Debtor’s assets in its resolution under the Code. The applicant further seeks-a direction to Respondent No. 2 (“CoC/Committee of Creditors”) not to consider any proposal for sale of the Corporate Debtor's Participating Interest in the Oil Block without first following the process set out in the agreements signed by and between the Applicant and the Corporate Debtor. The Applicant has made following final prayers, besides interim relief sought in terms of prayer (a) to (d) :
(e)this Hon’ble Tribunal be pleased to direct that the PI of the Corporate Debtor in the Oil Block is not an asset of the Corporate Debtor;
(f)this Hon'ble Tribunal be pleased to direct Respondent No. 1 to offer the PI of the Corporate Debtor to the Applicant as per Article 13 and/or any other provision of the JOA;
(g)this Hon’ble Tribunal be pleased to pass an order directing that the PI of the Corporate Debtor in the Oil Block be excluded from the Corporate Insolvency Resolution Process of the Corporate Debtor;
(h)this Hon’ble Tribunal be pleased to pass such further orders as may be required/ necessary in the facts and circumstances of the present case.”
The said I.A. came to be dismissed by the Adjudicating Authority by order dated 12.01.2025, against which Appellant filed an appeal being Company Appeal (AT) (Ins.) No.210 of 2025, which was dismissed by this Tribunal on 30.01.2026. The Appellant also filed an appeal before the Hon’ble Supreme Court being Civil Appeal No.3314 of 2026, which came to be dismissed on 02.04.2026. The issues which were raised by the Appellant in earlier I.A. having been rejected on 12.01.2025, the Adjudicating Authority has dismissed IA(I.B.C)/197(MB)2026 relying on the said order. The prayers which have been made in the IA(I.B.C)/197(MB)2026 could not have been allowed in view of the earlier order dated 12.01.2025. The Appellant was praying that the Court should declare that the PI of the Corporate Debtor in the Oil Block is not an asset of the Corporate Debtor, which argument has already been rejected in the earlier round. It is also on the on the record that Appellant has not filed any Expression of Interest or submitted any plan. We, thus, are of the view that the order of the Adjudicating Authority rejecting the IA cannot be faulted.
Parties submit that application for approval of Resolution Plan is still pending before the Adjudicating Authority. We are not required to say anything about the said proceeding. Parties are at liberty to take such remedy as available in law. Appeal is dismissed.