NCLT Mumbai Approves ₹919 Crore Resolution Plan For Hotel Horizon; Consortium Led By Oberoi Realty Secures Unanimous CoC Nod
Court / Authority
Insolvency & Bankruptcy Board
Update / Judgement Date
08 Jul 2026
Source
WCP News Bulletin
Author
Manas Yadav — WCP Legal Desk
Reading Time
2 min read
View Count
1
The National Company Law Tribunal, Mumbai Bench–I has approved the resolution plan submitted by a consortium comprising Oberoi Realty Limited, Shree Naman Developers Private Limited and JM Financial Properties and Holdings Limited for revival of Hotel Horizon Private Limited, under Section 31 of the Insolvency and Bankruptcy Code, 2016.
Commercial Structure
CIRP against Hotel Horizon was initiated on 19 November 2024. The CoC comprised CFM Asset Reconstruction Private Limited holding 46.01% voting share and JM Financial Asset Reconstruction Company Limited with 53.99%. Following issuance of Form G, receipt of 45 expressions of interest, and a structured challenge process, the consortium’s bid of ₹919 crore emerged as the highest against a reserve price of ₹909 crore. Five resolution plans were evaluated before the successful applicant was selected. The plan provides for upfront payment of ₹919 crore to secured financial creditors, representing approximately 74% recovery, with CIRP costs paid in priority. Although operational creditors were assessed to receive nil in liquidation, the consortium voluntarily earmarked ₹25 lakh towards their settlement. Performance guarantees aggregating ₹91.90 crore were furnished to secure implementation.
Legal Findings
The Tribunal held that the resolution plan satisfied all statutory requirements under Section 30(2) of the IBC and Regulations 37, 38 and 39 of the CIRP Regulations. Emphasising the primacy of commercial wisdom of the CoC, the Bench observed that the unanimous approval insulated the plan from judicial interference in the absence of illegality or material irregularity. Relying on the Supreme Court’s ruling in K. Sashidhar v. Indian Overseas Bank and Ghanshyam Mishra & Sons v. Edelweiss ARC, the Tribunal clarified that upon approval, all claims not part of the resolution plan stand extinguished and the plan binds all stakeholders, including statutory authorities. Finding the proposal viable, funded, and time-bound, the NCLT approved the plan, lifted the moratorium under Section 14, and directed quarterly monitoring of implementation.
Full Judgement / Attachment
Full Judgement
Frequently asked questions about Insolvency & Bankruptcy Board
- What is the IBBI?
- The Insolvency and Bankruptcy Board of India, set up on 1 October 2016 under the Insolvency and Bankruptcy Code, 2016 (IBC), regulates insolvency professionals, insolvency professional agencies, information utilities and registered valuers. It also frames the regulations for insolvency processes.
- When can insolvency be started against a company?
- A financial creditor, an operational creditor or the company itself can apply to the National Company Law Tribunal (NCLT) once there is a default of at least ₹1 crore. On admission, a moratorium starts and an interim resolution professional takes charge.
- How long does the corporate insolvency process take?
- The Code provides 180 days for the corporate insolvency resolution process (CIRP), extendable up to an overall limit of 330 days, including time spent in litigation. In practice, many cases take longer. The IBC (Amendment) Act, 2026, largely in force from 26 May 2026, requires the NCLT to decide admission applications within 14 days and to record reasons for any delay.
- Where can an NCLT insolvency order be appealed?
- An appeal lies to the National Company Law Appellate Tribunal (NCLAT) within 30 days, extendable by up to 15 days for sufficient cause. A further appeal lies to the Supreme Court on a question of law.
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- Post your requirement on White Collar Professional to receive proposals from verified Insolvency Professionals, Chartered Accountants and Advocates, compare them, and pay securely through the platform. This page also tracks the latest insolvency IBC and IBBI updates as they are reported.
