Business Wire India
In a landmark victory for hundreds of families, the National Company Law Tribunal (NCLT), Mumbai, has formally approved the resolution plan for Nirmal Lifestyle (Mulund) Private Limited. This judicial milestone, facilitated by RP Amit Karia from InCorp Restructuring Services LLP (IPE), officially clears the path for the long-awaited completion of the project, turning the dream of homeownership into a reality for distressed homebuyers. The resolution plan, submitted by resolution applicant Mantra Properties and Developers Private Limited, received unanimous support from the Committee of Creditors, signaling a definitive end to years of uncertainty.
This gives a sigh of relief to around 234 homebuyers associated with a related partnership firm and its residential project, 'Nirmal Olympia', at Mulund, who, despite having no formal standing in the CIRP, will now see their interests protected through the resolution plan. The aggregate debt involved stood at approximately INR 1,491 crores. Mantra Properties and Developers Private Limited has undertaken in its plan to protect the interests of these homebuyers, effectively resolving the liabilities of the partnership firm in tandem with those of the corporate debtor.
Since the CIRP applied solely to Nirmal Lifestyle which held a 99.9% stake in the partnership firm and not to the firm itself, homebuyers were left without an avenue to submit their claims to the Resolution Professional. Adding to the complexity, the project land was mortgaged to the Secured Creditors/CoC members. Yet the approach reflects an inventive use of the resolution framework, stretching its reach to deliver relief beyond the confines of corporate insolvency proceedings.
RP Amit Karia, Managing Partner at InCorp Restructuring Services LLP, said, “Cases of this nature demand not just technical expertise, but the ability to align deeply divergent stakeholder interests toward a common resolution. What made this resolution particularly meaningful was not just the scale of debt involved, but the 234 homebuyers whose futures were tied to an outcome they had no formal standing to demand. Every resolution we complete reinforces our conviction that insolvency, when handled with rigour and empathy, can be a genuine instrument of value preservation for everyone involved in the process."
The principal lenders comprised Beacon Trusteeship Limited, acting on behalf of Edelweiss ARC, and Assets Care and Reconstruction Enterprise Limited (ACRE) — both marquee institutional creditors in India’s structured finance landscape. The resolution plan received approval of 100% of the Committee of Creditors, reflecting strong consensus around the proposed resolution framework.
