The National Company Law Tribunal (NCLT), Ahmedabad Bench, has officially initiated the Corporate Insolvency Resolution Process (CIRP) for Gujarat Toolroom Limited. The order, dated September 30, 2026, follows a petition filed under Section 9 of the Insolvency and Bankruptcy Code, 2016. Mr. Iqbal Singh Gandhi has been appointed as the Interim Resolution Professional (IRP) to oversee the process.
NCLT Orders CIRP for Gujarat Toolroom Limited
In a significant development, the National Company Law Tribunal (NCLT), Ahmedabad Division Bench, has passed an order to initiate the Corporate Insolvency Resolution Process (CIRP) for Gujarat Toolroom Limited, the Corporate Debtor. This order was issued on September 30, 2026, following the admission of a petition filed under Section 9 of the Insolvency and Bankruptcy Code, 2016.
Appointment of Interim Resolution Professional
As part of the CIRP initiation, the Hon’ble NCLT has appointed Mr. Iqbal Singh Gandhi as the Interim Resolution Professional (IRP). Mr. Gandhi, bearing IBBI registration number IBBI/IPA-001/IP-P-02365/2021-2022/13524, will now be responsible for conducting the CIRP in accordance with the provisions of the Code and relevant regulations. His appointment is effective from the date of the NCLT order.
Details of the Petition and Default
The petition that led to this order was filed by Naksh Steel Limited, acting as the Operational Creditor. The application, designated as CP (IB) No. 158 of 2026, cited a default amounting to ₹26,20,56,668. The default, according to the NCLT’s judgement, occurred on or after January 20, 2025. The tribunal noted that the debt was due and acknowledged by Gujarat Toolroom Limited, with the non-payment attributed to liquidity constraints.
Moratorium and IRP Responsibilities
The NCLT order also imposed a moratorium under Section 14 of the Code, which will remain in effect until the completion of the CIRP or until a resolution plan is approved. The appointed IRP, Mr. Iqbal Singh Gandhi, is directed to make a public announcement regarding the initiation of CIRP and invite claims from creditors. He is also tasked with taking charge of the corporate debtor’s assets and managing its operations as a going concern. The Operational Creditor has been directed to pay the IRP an advance of ₹2,00,000 to meet the initial costs of the CIRP.
Source: BSE
