AI Drafter 
TaxTMI 
TaxTMI 
2026 (4) TMI 14
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....rity') in I.A. No. 723 (ND) of 2025 in CP (IB) No. 334 (ND)/ 2018). Monika Ghei wife of Mr. Rajya Wardhan Ghei who is a Commercial Space Buyer is the Respondent herein. 2. The Appellants submitted that the Adjudicating Authority has committed an error in passing the impugned order dated 18.08.2025. The order directs the Successful Resolution Applicant to execute a registered conveyance deed for Shop Nos. HL-41, 42 and 43 in favour of the Respondent within two weeks and further directs that rent received from M/s Haldiram Ethnic Foods Pvt. Ltd. be credited to the Respondent's account within four weeks. This direction has been issued even though the Respondent has admittedly not paid the balance consideration for the enhanced area as required under the approved resolution plan. 3. The Appellants contended that the entire transaction began with the original allotment letter dated 04.09.2014 issued by the Corporate Debtor in favour of Mr. Sanjay Mehta. Under this allotment, a super area of 1,250 sq. ft. was allotted at a total consideration of Rs. 51,00,000/-. The said unit was later transferred to the Respondent vide transfer letter dated 12.09.2016. At that stage, the Responden....
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.... The plan does not permit registration on any other condition. 8. The Appellants submitted that the impugned order dated 18.08.2025 has directly contradicted this binding clause. The Adjudicating Authority has held that "non-payment of the charges would be no ground to delay the execution of the document". This observation effectively rewrites the approved resolution plan and grants the Respondent a benefit that was never contemplated by the CoC. 9. The Appellants contended that once a resolution plan is approved under Section 31 of the Code, it becomes binding on every stakeholder, including the Respondent. The Adjudicating Authority has no power to modify or dilute its commercial terms. The Hon'ble Supreme Court in Jaypee Kensington Boulevard Apartments Welfare Association v. NBCC (India) Limited, (2022) 1 SCC 401 has clearly held that the Adjudicating Authority cannot interfere with the commercial wisdom of the CoC or substitute any term of the approved plan. 10. The Appellants submitted that the same principle was reiterated by the Hon'ble Supreme Court in Committee of Creditors of Essar Steel India Limited v. Satish Kumar Gupta, (2020) 8 SCC 531. The Court observed th....
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....ble Delhi High Court on 12.03.2019 also recorded the Respondent's undertaking that she would not enforce the arbitral order without prior permission of the NCLT. Despite these clear directions, the Respondent continued to receive rent without obtaining any leave. 16. The Appellants submitted that the direction in the impugned order to credit rent from April 2024 onwards further perpetuates this illegality. Clause 11.4.3.1(iii) of the approved resolution plan clearly states that buyers of virtual space in the Haldiram area shall receive rent directly only after registration and only after full payment of all dues. 17. The Appellants contended that under applicable laws and the terms of the allotment, a registered conveyance deed can be executed only after the builder issues a "no dues" certificate. Without payment of the balance consideration for the enhanced area and other charges, no such certificate can be issued. The impugned order bypasses this mandatory requirement and directs registration in two weeks, which is contrary to law. 18. The Appellants submitted that the resolution plan approved on 03.04.2024 has superseded all earlier orders, including the Adjudicating Au....
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....he said demand, resulting in the Appellants gobbling up the surplus amount of Rs. 1,32,400/-. 25. The Respondent submitted that the New Allotment Letter dated 30.04.2018 issued on the same day as the Settlement Agreement categorically states that the full and final consideration for the entire 1,404 sq. ft. virtual space stands paid through adjustment of arrears of rent and that nothing else is due and payable by the Respondent. The said letter further declares the allotment as "firm and final" with the area and location being final. 26. The Respondent contended that the Appellants themselves admitted before the Adjudicating Authority during the hearing of I.A. No. 723 of 2025 that no further payment is due towards the enhanced area, and this admission stands recorded in the impugned order dated 18.08.2025. The approved Resolution Plan dated 03.04.2024 also acknowledges the Respondent as owner of 1,404 sq. ft. having made full and final payment, contrary to the Appellants' present fraudulent contention that payment was received only for 1,250 sq. ft. 27. The Respondent submitted that the Appellants obtained an ex-parte stay on 10.09.2025 by suppressing the fact that the Ad....
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....ich rent was credited to the Respondent's account from the escrow account maintained by the Resolution Professional. 33. The Respondent submitted that even after approval of the Resolution Plan on 03.04.2024, the Monitoring Committee and Successful Resolution Applicants again withheld rent from April 2024 onwards in flagrant violation of the earlier binding orders. When the Respondent approached them for execution of the conveyance deed and release of rent, she was falsely told that payment for the enhanced area was still due, despite the documents on record showing complete adjustment and payment. 34. The Respondent contended that she had no option but to file I.A. No. 723 of 2025 seeking execution of the registered conveyance deed in her favour, direct credit of rent from April 2024 onwards, and restraint on allotment to any third party. The Adjudicating Authority, after considering the Settlement Agreement, the New Allotment Letter, the Appellants' admission, the earlier binding orders, and the Respondent's willingness to pay power back-up charges as per the Resolution Plan, rightly directed execution of the conveyance deed within two weeks and release of rent within four ....
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....d in I.A. No. 723 (ND) of 2025, the Adjudicating Authority has not examined any issue and has not recorded any finding which may reflect judicial application of mind by the Adjudicating Authority. 41. We observe that in most of pages, the contentions of both the parties have been noted by the Adjudicating Authority and the finding is contained only in one the paragraph. 42. For the sake of clarity, the impugned order containing few pages is reproduced as under :- The Ld. Counsel for the Applicant submitted that though the Applicant had already paid an amount of Rs. 55,000/- towards power back up charges to the Corporate Debtor, when its affairs was managed by Management/ Board of Directors in position at the time of commencement of CIRP, but she will have no difficulty in making the payment as per the aforementioned clause of the Resolution Plan. In the wake, the present application is disposed of with the direction that the SRA would execute the required documents for transfer of the aforementioned Name of CSB Unit No. Area (in sq. ft) 101 Mrs. Monika Ghai (HL-041, 042 & 43 1404 VIRTUAL SPACE AT HONEY MO....
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....by this Hon'ble Tribunal on 26.11.2018. (d) direct the MC/SRAs to not to allot the said shops to any other entity/third person and execute a registered Sale Deed in its/his/her favour, other than the Applicant herein. Mr. Sandeep Thukral, Ld. Counsel for the Applicant submitted that the Respondent i.e. SRA has not taken any steps to implement the plan. As far as handing over possession of the shop referred to in the prayer Clause-C is concerned, in his submission, the SRA has not taken steps to execute the required documents for the transfer of shops in his name. At the first instant, the Ld. Counsel for the SRA contended that the area of the shop which was originally 1205 sq/feet has been increased and the area of the shop in respect to which documents are to be executed is 1404 sq/feet, thus the Applicant is required to make the extra payment. Confronted with the submission, the Ld. Counsel for the Applicant would draw our attention to the resolution plan to show the area of shop allotted to the Applicant was 1404 sq/feet. The relevant excerpt of the Plan reads thus :- Then, the Ld. Counsel for the Respondent (SRA) submitted that the Applic....
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....(Ins.) No. 1153/2024. Contt.Pett .- 8/ND/2025: In the wake of the order passed in IA-723/ND/2025, the Contempt Petition stands disposed of. IA-447/ND/2025: As prayed by Ld. Counsel for the Applicant, one week time is granted for filing the rejoinder. List on 29.09.2025. IA-4070/ND/2024: As prayed by Ld. Counsel appearing for the SRA, one week time is granted for filing the reply. List on 29.09.2025. IA-4793/ND/2024: The Ld. Counsel for the Applicant submitted that the applicant is a dissenting secured creditor and merely because, he abstained from voting qua the resolution plan, the SRA has not offered him liquidation value even. The Ld. Counsel for the SRA submitted that as far as the claim in the application is concerned, he needs time to make further submission, but as far as the amount mentioned in the resolution plan in concerned, the SRA is ready to make the payment to the Applicant and it is the Applicant only who avoids receiving the payment. Let the SRA bring a demand draft of the offered amount in the Court on the next date of hearing. It goes without saying that, the issues raised by the parties in the application are yet to be determi....
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....he rent received in respect of the shops mentioned in the application is credited to the account of the Applicant within 4 weeks from today. It is made clear that, if the rent is not credited to the account of the Applicant as per the order passed in IA-723/2025, the Applicant would be entitled to revive of the present IA. The application stands disposed of. The present order would abide by the outcome of the Company Appeal AT (Ins.) No. 1153/2024." (Emphasis Supplied) 44. We observe that a non-speaking order lacks of detailed reasoning, analysis and finding of facts and law. We find that the present finding as quoted above, is rather too cryptic and sketchy and thus, fails to explain on what basis of facts and the law, the Adjudicating Authority has reached to the conclusion of allowing the Respondent to execute the documents. We do not find any answer as to why the Adjudicating Authority has taken this decision in I.A. No. 723 (ND) of 2025. 45. There are several judicial pronouncements of the Hon'ble Supreme Court of India that non-speaking impugned order cannot be sustained legally. In this connection, some of the judgement of the Hon'ble Supreme Court of India are repr....
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.... system. j. Insistence on reason is a requirement for both judicial accountability and transparency. k. If a Judge or a quasi-judicial authority is not candid enough about his/her decision making process then it is impossible to know whether the person deciding is faithful to the doctrine of precedent or to principles of incrementalism. l. Reasons in support of decisions must be cogent, clear and succinct. A pretence of reasons or 'rubber-stamp reasons' is not to be equated with a valid decision making process. m. It cannot be doubted that transparency is the sine qua non of restraint on abuse of judicial powers. Transparency in decision making not only makes the judges and decision makers less prone to errors but also makes them subject to broader scrutiny. (See David Shapiro in Defence of Judicial Candor (1987) 100 Harward Law Review 731-737). n. Since the requirement to record reasons emanates from the broad doctrine of fairness in decision making, the said requirement is now virtually a component of human rights and was considered part of Strasbourg Jurisprudence. See (1994) 19 EHRR 553, at 562 para 29 and Anya vs. University of Oxfo....
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....aking out. The "inscrutable face of a sphinx" is ordinarily incongruous with a judicial or quasi-judicial performance. 10. The above position was highlighted in State of Orissa v. Dhaniram Luhar (2004(5) SCC 568). 11. Therefore, the impugned order of the High Court cannot be sustained and is set aside, and matter is remitted to it. The High Court shall take up the matter afresh and dispose of the same in accordance with law. The appeal is allowed without any order as to costs." (Emphasis supplied) 46. In view of above, we do not have any option but to set aside the Impugned Order since there is no reasoned finding has been given in the Impugned Order. The Impugned Order is set aside and remanded back to the Adjudicating Authority to decide it a fresh in accordance with law by passing a reasoned order after hearing both the parties. 47. Both the parties are directed to appear before the Adjudicated Authority on 22.04.2026. No order as to cost. I.A., if any are Closed. ============= Document 1 ORDER IA-723/ND/2025: The prayer made in the captioned application reads thus: In the aforesaid facts and circumstances, the Applicant most respectfully pr....
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.... 175 118 kr Guisan OF-O19 175 119 Archana Makes+ GF:020 175 120 Seme gunta Devi GF.021 175 121 M. Sarita Tiaar GF-022 175 122 GF-023 175 123 Mrs. RaÄval Bratnayar OF-024 176 124 Atry. Sandeep Garciza GF.025 125 125 Mr. Ãœrojo Gepal Mazamdar GF-02G 175 126 At's Alena Sharma GF-027 170 127 M'a Enakali Shamms GF-28 128 Mr. Ras Ahmed Shamsi WADY GF-029 175 GF-12 GP-13 GP-15 Mr. Ras Ahmed Shamsi WADY WADY Then the Ld. Counsel for the Respondent (SRA) submitted that the Applicant is liable to pay the electricity charges as per the resolution plan. The relevant clause of the plan referred to by the Ld. Counsel for the Respondent reads thus :- Iv .. To determine the balance payment to be recovered by the CSB's In respect of the commercial space/ shop, the Resolution Applicant shall consider the principle amount and other charges (if any) mentioned In the Builder Buyer Agreement (BBA)/ Allotment letter. There shall be complete wavier on penalty/ charges in respect of delays etc. before the effective date. No recovery 'other than principle amount, other charges and' power - back-up charges of Rs. 20,000 per KVA as mentioned in t....
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.... granted. List this appeal on 04.07.2025. In the wake of the pendency of the aforesaid appeal before Hon'ble NCLAT, in the interest of judicial discipline and propriety, we refrain from passing any order regarding the release of the rent qua the shops allotted to the applicant at this stage. Nevertheless, after disposal of the aforementioned Appeal by Hon'ble NCLAT, it would be open to parties to take appropriate steps in accordance with law. The IA stands disposed of. IA-2576/ND/2025: For the reasons stated therein, the IA is allowed and the status report is kept on record, subject to all just exceptions, without prejudice to the rights and contentions of the other two members of the Monitoring Committee. IA-17/ND/2025: When the oral submission made at the bar is that the Ld. Counsel who has preferred present IA Le. IA-17/ND/2025 was sick on 11.12.2024 when the IA-5825/2024 was listed and the counsel through whom the IA was preferred was busy before District Court Gurugram, in para 6 of the application it is stated that despite efforts made by them, neither the counsel Who has preferred IA-17/ND/2025, who happened to be proxy counsel for counsel in IA-5825/2024 nor ....