NCLT Mumbai Approves Rs 345.6 Crore Hirani Ventures Plan For E-Commerce Magnum

The National Company Law Tribunal (NCLT) at Mumbai has approved a Rs. 345.60 crore resolution plan submitted by Hirani Ventures Pvt Ltd for E-Commerce Magnum Solution Ltd.

The tribunal said it cannot interfere with the commercial decisions of lenders once a resolution plan complies with the Insolvency and Bankruptcy Code.

A bench of Judicial Member Ashish Kalia and Technical Member Sanjiv Dutt held that the plan met all requirements under Section 30(2) of the Code.

“We find that the Plan meets the requirements under Section 30(2) of the Code and that it is not in violation of provisions of any law for the time being in force,” the tribunal said.

E-Commerce Magnum was admitted into insolvency on July 1, 2024, on a petition filed by Yes Bank. The bank's exposure was later assigned to JC Flower Asset Construction Ltd. under an agreement dated December 16, 2022.

Following admission, a public announcement inviting claims was issued on July 4, 2024, and the Committee of Creditors comprised a sole secured financial creditor holding 100 per cent voting share.

After a competitive process involving prospective resolution applicants, the CoC unanimously approved the resolution plan submitted by Hirani Ventures in its meeting held on September 19, 2025. A letter of intent was issued on September 29, 2025, which was accepted along with the submission of the performance bank guarantee of Rs. 10 crores.

Under the approved plan, the existing shareholding of the corporate debtor stands restructured, resulting in a change in ownership and control. While the plan extinguishes all the claims of operational creditors, it provides for priority payment of CIRP costs and distribution to financial creditors.

Several stakeholders objected to the plan, raising concerns over valuation, distribution of proceeds and adequacy of payouts.

Rejecting these objections, the tribunal relied on settled precedents and held that it cannot sit in appeal over the commercial wisdom of the committee of creditors once the plan complies with the law.

The tribunal accordingly directed the resolution professional to hand over all records and assets to Hirani Ventures to ensure timely implementation of the plan.

For Applicant: Advocates Ayush Rajani, Khushboo Shah Rajani i/b AKR Legal