NCLT admits Blu-Smart Mobility for insolvency resolution

The National Company Law Tribunal (NCLT), Ahmedabad, admitted Blu-Smart Mobility Ltd., an electric vehicle ride-hailing service, for insolvency resolution following a petition filed by Catalyst Trusteeship Ltd.

Catalyst Trusteeship, acting as a debenture trustee for Incred Credit Opportunities Fund-I and a financial creditor filed a petition against Blu-Smart, a related entity of Gensol Engineering, alleging a default of about ₹1.28 crore.

After hearing the arguments and going through the presented documents, NCLT Judicial Member Shammi Khan and Technical Member Sanjeev Kumar Sharma said the financial creditor has established the existence of a financial debt under section 5(8) of the insolvency and bankruptcy code, arising from the issuance of 15 non-convertible debentures worth ₹15 crore and the disbursement to Blu-Smart is undisputed.

The tribunal said it is satisfied that the financial creditor is entitled to the relief sought.

The NCLT appointed NPV Insolvency Professionals Private Ltd. as the interim resolution professional (IRP) of Blu-Smart.

Since it admitted the Catalyst Trusteeship petition, the bench dismissed another petition filed by Spectrum Trimpex Private Ltd. against Blu-Smart and said it can file its claims before the IRP.

Last month, NCLT had admitted Gensol Engineering Ltd. and its subsidiary Gensol EV Lease Ltd. for insolvency resolution, following separate cases filed by Indian Renewable Energy Development Agency Ltd.