R K Enterprises, Through Its Proprietor Rakesh Kumar vs Super City Developers Pvt. Ltd.

This company appeal is being taken out of turn upon a joint mentioning, being made by the Ld. Counsel for the parties.

The appellant is a Proprietor of a firm named as M/s R.K. Enterprises, who claims itself to be an Operational Creditor. On the basis of an alleged default, the appellant had initiated a proceeding under Section 9 of the I&B Code, against the Respondent/ Corporate Debtor. As on the date of filing of petition on 24.05.2024 before the Ld. Adjudicating Authority, the total amount of liability as claimed by the appellant was Rs.1,04,27,102/-. In the proceedings thus drawn on 24.05.2024, the date of default was reflected as 15.12.2023.

When the company petition was taken up by the Ld. NCLT, Court-V, New Delhi, the CP (IB) No.351/ND/2024, the same was dismissed by the impugned Judgment of 13.06.2025. Hence, the company appeal.

Upon inception of the proceedings the notices were issued to the respondent by an order dated 26.08.2025. Thereafter, an effective hearing of the company appeal, could take place only on 13.04.2026, when both the parties made a statement that some negotiations are going on for an amicable settlement of dispute.

The parties filed a memorandum of settlement vide I.A. No. 3069 of 2026. The said I.A. was submitted under the joint signature and under a joint affidavit of both the parties to the appeal.

As per the averments made therein, the settlement agreement dated 13.04.2026, placed on record expressing thereof that, the respondent had undertaken to pay the first instalment of Rs. 1,10,00,000/- (Rupees One Crore Ten Lakhs Only) including the legal charges towards full and final settlement and the said amount was settled to be paid as per the schedule of payment given in paragraph no.2 which is extracted hereunder:

However, in the application for settlement and its terms, the appellant has reserved its right that, in case if there is any breach of payments of the settled instalments. The appellant’s right to initiate the proceedings upon dishonor of cheque, was kept reserved. The parties to the appeal have prayed for the following relief (a) to take on record the settlement agreement dated 13.04.2026 (b) pass any other order which the Tribunal may deemed fit in the facts and circumstances of the case.

Company appeal was taken up once again after filing of the settlement on record on 01.07.2026, and in the order that was passed thereof, it was observed that two instalments under the settlement had already been paid with an assurance that the third instalment would be paid on 01.07.2026 i.e. the date when the appeal was taken up. But for the fourth installment certain additional time was prayed for, for which the appellant had consented.

At the stage of mentioning today, the learned counsel for the parties have made a unanimous statement and particularly the appellant that, all amount that was agreed to be paid under the terms of settlement has been received by the appellant and no dispute as such survive, as of now.

Owing the statements of the counsels, which was made after taking instructions from the respective litigants, and since the settlement has been fructified, no purpose survives in the instant company appeal, as no cause survives for the appellant to pursue Section 9 of I&B Code.

Hence, the company appeal would stand closed in terms of the settlement (already satisfied) dated 13.04.2026. Accordingly, the company appeal would stand disposed of in terms of the settlement. All Interlocutory applications would stand closed.