The Mumbai bench of the National Company Law Tribunal on Tuesday admitted Syska LED Lights Pvt. Ltd. into insolvency on an application filed by its operational creditor Sunstar Industries, two people with knowledge of the matter told NDTV Profit.
Under the Insolvency and Bankruptcy Code, an operational creditor is defined as one who has claims against the corporate debtor in connection with certain goods and services supplied by the former to the latter.
The tribunal has appointed Debashis Nanda as the interim resolution professional. The IRP will be taking care of the affairs of the company until a resolution professional is appointed.
The insolvency application was filed through advocate Nipun Gautam.
Syska LED Lights is a part of the Pune based SSK Group and is a household name for bulbs, LEDs, and all things connected with lighting up of homes in India. Syska LED is spread over more than 75 locations in India, offering customers advanced LED lighting solutions ranging across residential, commercial outdoor, industrial and decorative indoor options.
Sunstar Industries, the operational creditor, is in the business of manufacturing, designing, fabricating, importing, and exporting all kinds of consumer electrical appliances.
The dispute arose when Sunstar Industries supplied goods to Syska LED between 2022-23 and even after repeated reminders, Syska LED failed to pay for the goods that it availed.
As per Sunstar Industries' petition, Syska LED has defaulted payments of nearly Rs 7.7 crore.
It is crucial to note that earlier this year, the NCLT had admitted Syska LED into insolvency on an application filed by another operational creditor by the name of NJ Electronics. However, this application was subsequently withdrawn as the two parties settled amongst themselves
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