By buld_online 
The National Company Law Appellate Tribunal (NCLAT) has stayed insolvency proceedings against Reliance Infrastructure (R-Infra), offering the company major relief after it cleared the full outstanding amount of ₹92.68 crore owed to Dhursar Solar Power Pvt Ltd (DSPPL).
The tribunal’s decision came in response to R-Infra’s appeal challenging the May 30 order by the National Company Law Tribunal (NCLT), which had admitted an insolvency plea filed by IDBI Trusteeship Services.
Acting as DSPPL’s security trustee, IDBI had filed the petition under the Insolvency and Bankruptcy Code (IBC), 2016, alleging a default on 10 invoices between 2017 and 2018.
“The company has made full payment of ₹92.68 crore to Dhursar Solar Power Private Limited, towards claim of tariff as per the Energy Purchase Agreement with the company,” R-Infra said in a stock exchange filing on Monday. “The NCLT order has become infructuous as legally advised, upon full payment having already been made,” it added.
The dispute originated from an Energy Purchase Agreement (EPA) signed in 2011 under which DSPPL, a Mumbai-based firm with solar power operations in Rajasthan, supplied power to Reliance Infra.
Following payment defaults, IDBI Trusteeship served a demand notice in 2022 and approached NCLT, seeking the initiation of the corporate insolvency resolution process (CIRP) for a default of ₹88.68 crore (excluding interest) as of August 2018.
Reliance Infrastructure, meanwhile, maintained that the application was time-barred and contested the validity of the invoices under the terms of the EPA. Despite this, NCLT Mumbai had on May 30 admitted the insolvency plea.
Following the payment, R-Infra appealed to the NCLAT to stay insolvency proceedings. The appellate tribunal’s decision to suspend the CIRP process marks a temporary but significant relief for the company.