Anil Ambani's Reliance Infra says NCLAT suspends NCLT order admitting co into insolvency; shares edge up over 10%

In a major relief to Reliance Infrastructure, the National Company Law Appellate Tribunal (NCLAT) on Wednesday suspended the National Company Law Tribunal’s (NCLT) order that had admitted the company into the Corporate Insolvency Resolution Process (CIRP).

Shares of the Anil Ambani-owned company skyrocketed, trading at Rs 378.35 apiece on the BSE up 10.64 per cent as 3.10 PM on Wednesday.

In a regulatory filing to the stock exchanges, the company said, “In the appeal filed, the Hon’ble National Company Law Appellate Tribunal, New Delhi (NCLAT), today has suspended the Order dated May 30, 2025 passed by National Company Law Tribunal, Mumbai in case no. C.P. (IB)/624(MB)2022, admitting the Company into Corporate Insolvency Resolution Process.”

The NCLT had earlier admitted the Anil Ambani-promoted company under the corporate insolvency resolution process (CIRP) following a plea filed by IDBI Trusteeship Services Ltd.

The dispute began over an Energy Purchase Agreement (EPA) signed in 2011 between Reliance Infrastructure and Dhursar Solar Power Pvt Ltd (DSPPL). Under the agreement, Reliance Infra committed to purchasing all power generated by DSPPL’s solar power plant.

To secure payments under the EPA, DSPPL later entered into a direct agreement in 2012 with IDBI Trusteeship Services Ltd, designating the trustee company as the holder of DSPPL’s claims. Between 2017 and 2018, DSPPL supplied energy and issued 10 invoices to Reliance Infra. After non-payment of dues, IDBI Trusteeship issued a demand notice in April 2022 under the Insolvency and Bankruptcy Code (IBC), seeking recovery of over Rs 88 crore.

Based on this claim, the NCLT admitted the company into CIRP. In its May 30 order, the division bench comprising judicial member KR Saji Kumar and technical member Sanjiv Dutt said, “We come to a definite conclusion that the operational creditor (IDBI Trusteeship) has become successful in establishing operational debt due and payable against the CD (corporate debtor) and that the CD (Reliance Infrastructure) is in default.”

However, Reliance Infrastructure argued that the dues had already been paid in full, Rs 92.68 crore to DSPPL, and that the petition itself was time-barred since the last invoice dated back to September 2018. It also contended that a pre-existing dispute with DSPPL made the application non-maintainable.

In a statement to ET, a Reliance Infrastructure spokesperson said, “The company has made full payment of Rs 92.68 crore to Dhursar Solar Power Private Limited, towards the claim of tariff as per the energy purchase agreement with the company. Accordingly, the company preferred an appeal before the Hon’ble NCLAT and will seek withdrawal of the order dated May 30, 2025, passed by NCLT Mumbai in case no. C.P. (IB) 642/MB/2022, for corporate insolvency resolution process and appointment of the interim resolution professional.”