Noida: National Company Law Tribunal (NCLT) has allowed the withdrawal of corporate insolvency resolution process (CIRP) against Le Grandiose developer, Nobility Estates Private Limited, after lenders and the company’s ex-management reached a settlement agreement. It also restored the management of the real estate company to its board of directors.Tribunal’s principal bench, comprising acting president Bachu Venkat Balram Das and member (technical) Ravindra Chaturvedi, in an order on May 5, approved the withdrawal application. “We deem it appropriate to allow the application and the CIRP of Nobility Estates Private Limited stands concluded. All pending applications in relation to the CIRP of the corporate debtor (Nobility Estates) are disposed of,” NCLT said.It said the resolution professional would be released from all obligations and liabilities arising from the CIRP.Nobility was developing Le Grandiose, a residential project in Sector 150, spread over 53,908 sqm. Launched in 2016 with a proposed completion date of 2023, the project, comprising nearly 1,000 flats of 3 and 4 BHK, got stuck midway.The insolvency case was filed by ASK Property Investment Advisors, a financial creditor, following an alleged default by the company. The tribunal admitted the plea on Nov 24, 2023. A resolution professional (RP) was appointed, who then constituted the committee of creditors (CoC), comprising ASK Trusteeship Services, homebuyers and others.The ex-management of Nobility submitted a resolution proposal on Oct 10, 2024. By Jan 26 this year, ASK Property informed the RP that a formal settlement had been executed with the company’s ex-management.Under the settlement, Nobility offered Rs 108 crore against a liability of Rs 775 crore owed to ASK Property. A debt of Rs 220 crore owed to JM Financial is proposed to be settled through allocation of 37 units totalling approximately 1,00,400 sq ft. The debt of Piramal Finance, amounting to Rs 26.6 crore, is proposed to be settled through unit allocation in Phase II.The CoC approved the withdrawal proposal with a 92.5% voting share, exceeding the statutory threshold of 90% under Section 12A of the Insolvency and Bankruptcy Code. The NCLT observed that all requirements under Section 12A had been complied with and no objections had been received from stakeholders. Nobility did not respond to a request for comment.
